Duplex-3bd/1bath/unit-lower unit is converted basement-good/bad?

Question

Hey, Im newer to REI and recently became a pro member.  Im looking at a potential Duplex in Hendersonville TN, but Im hesitant when it comes to knowing if I have a potentially good deal. Its listed for $214900 and has rental income of $2150.   Its a split level house with the lower units being  a converted basement.  Just concerned about  possible water issues or unknowns from basement units. Does anyone have any pros/cons to a house set up this way.

Eric Helson · Answer

Hey Jake! Thanks for responding.

The neighborhood  is good neighbor is good.

My agent informed me that owner has had water issues in the basement in the past that has supposedly been fixed.

Also there are baseboard heaters and window ACs in both units.  Just concerned about how to get central heat/air in the  basement.  There is no room for duct work.

Or would you even bother trying to upgrade to central heat/air?

Jake S. · Answer

Hey Eric! There are obviously a lot of variable at play here, but just from a birds eye view, It looks like the property would cash flow.How is the neighborhood it is in?If you get it under contract, you can always reveal any major issues during inspection and go from there