Foreclosure Field Report

Yeah, I know this is all about 2-4 units. But this house is pretty rad, and even works as a straight investment. For a price of $254,900 and four bedrooms, it’s hard NOT to make it work. I shot some video for a client of mine that has an offer in, but couldn’t see the place asap.

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Pretty Quick Little Drive to Adams Ave:

What’s In It This For You!?

Sometimes, just sometimes, a house can make a good investment.

Bam! You just increased your investment opportunity pool and am now in a position to make more money faster.

House and yard walkthrough:

Well if you’re into this kind of stuff, you probably already know that a 2-4 unit beats out houses almost every time. More bedrooms for the same price = more rent. The only time a house can match the deal is like this one when the price is so freaking low. And even then it has to have three-four bedrooms as in the example.

One caveat: a multi unit property you can live in one and rent out the other units, thus getting the best out of the investment and residential ownership worlds, but a house you either all in, or all out (unless you rent out rooms, but that’s another story).

Here’s some numbers for you.

They don’t include a 7% management fee, so may want to knock that off the gross rents if you’re going that route. As always, this is just an estimate, you need to consult a qualified professional. Or at least dust off that calculator.

I called this one to sell around $270,000, 20% down, 6% interest rate just like the one above. Your monthly payment with tax is $1,520. So if you live in the house, this is what you’re looking at every month. Now it is your OWN place, not sharing the lot with your tenants, so that privacy is supposed to be what you’re paying for there. I estimate this one could rent out for $2,200. Your cashflow is +$680 per month. Pretty sweet! Also has a large lot with big new shed for all your stuff.

This entry was posted on Wednesday, November 18th, 2009 at 3:23 pm and is filed under Normal Heights. You can follow any responses to this entry through the RSS 2.0 feed. Responses are currently closed, but you can trackback from your own site.