I am looking at a property it has two apartments two bedroom units and a business in the front of the building. The area is residential and it does not have a good parking area there is room but the tenants currently park on the street. There is only one electric and gas for all the tenants. The current land lord splits up the utilities pays the water sewer and garbage. The business is a hair salon it has three seats and one is for rent. What are your opinions as to this kind of arrangement.
@William Frantz we need more info man.
What's asking price?
What are the two units renting for?
If they're vacant have you took some time to check the rental rates?
A narrative is not enough to make a good investment lol. I do feel the whole metering is a bit messy though.
Rents are 475+500 for the apartments good for the area the the salon is 60 per chair
The price is 55000 And the building is 1900 model updated 8 years ago
How much work is needed?
Any chance for rent appreciation?
So you only see 60 per chair in the salon as the landlord? Is that per week or per month?
I don't know yet about the insurance. The store could be changed. To a small apartment with some work.
I looked into mixed use many many years ago. I decided against it due to the insurance, and the fear of a vacancy in the retail section. I had a few friends Who did actually buy mixed use buildings. They finally sold the properties as straight residential was better for them. Good luck and be careful.