Advice Needed! One side of a duplex in a B-/C+ Neighbourhood
Hey Guys,
I'm looking at a property in a B- neighbourhood that needs quite a bit of work.. it's one side of a duplex. My question is for an experienced investor.. would you take a chance and invest in this type of situation? What kind of hurdles could I be looking at with renovations and dealing with the neighbours?
In a perfect world I would purchase both sides of the duplex, but that may not be possible at this time. Thoughts? Experiences?
"Quite a bit of work" and "B- neighborhood" generally do not add up for me. Your potential upside is far lower in a more depressed area, compared to nicer or up-and-coming neighborhoods. "Quite a bit of work" can mean considerable renovation budgets, plus potentially large, expensive, unexpected items that come up in the construction process.
Half of a duplex is also an odd situation, but that may be more Canadian than US real estate.
It's really a matter of risk vs potential reward. We always want the potential reward to make sense for the associated risk. This sounds like a situation where that is not the case. But only you know the property, the area, and what the numbers look like.
