2% Rule Rental in Popular Baltimore Neighborhood

[Matt Schelberg]

Opportunity to purchase a 4-bedroom townhouse in the popular Woodberry district of Baltimore, MD.  This deal offers a 2%+ cashflow rental with lots of equity.  Solid comps in a tight range of 100-112k for the appraisal on a cash-out refi.

• 4/2 with 1440 sqft above-grade
• Level of Rehab Needed: Moderate
• Estimated Rehab Cost:  25-30k
• ARV: 100-112k.
• Market rents: $1,300-$1,400
• Section 8 Rents:  $1,650-$1,800

Photos and floor plans here.

Cashflow Numbers from BP Rental Calculator here.

Features

• Hardwood floors throughout
• Large master bedroom of 275 sqft
• Unfinished basement offers opportunity to increase square footage or add 5th BR
• New plumbing in basement
• Replacement windows

Major Repairs

• Water supply lines in 50% of house are steel and need to be replaced with CPVC.
• Flat roof has been recently patched and there are no leaks, but roofer estimates 1-2 years before replacement (this is included in rehab estimate)
• Needs new kitchen and bath
• Refinish hardwood floors
• Replace electrical fixtures
• *These estimates are provided as a courtesy, please do your own due diligence

Neighborhood:  Woodberry is a hip, artsy neighborhood with new construction homes in the 500-700k price range.  This house is on the edge of the neighborhood but within easy walking distance of the cafes, art shops, restaurants, light rail stop, etc.  House is surrounded by trees and located 1 block from Greenspring Avenue Park and Druid Hill Park.

This is an assignment.  Title work is complete and ready to close.  Please PM me if interested.