Updated almost 5 years ago on . Most recent reply
On the Market or Recently Sold MultiFamily
We are looking for a multifamily in a strong school district along the brown line to owner occupy. Lakeview, Roscoe Village, Ravenswood, Ravenswood Manor, etc. We do, however, want something that would cover expenses if we decided to move. Is there anything right now on the market or recently sold that you think was a good opportunity in the areas mentioned? I'm trying to learn how to better evaluate options and would appreciate some help! It seems like there are some possibilities because of low rates but I've heard time and again that the numbers don't work so wondering what I'm missing? Should I strive for better numbers even if we are planning to owner occupy?
For example:
| 1820 W School | |
| Purchase Price | $730,000 |
| Monthly Rent | $4,850 |
| Annual Rent | $58,200 |
| Less 3% Vacancy | $56,454 |
| Annual Taxes | $12,125 |
| Annual Insurance | $3,000 |
| Total | $41,329 |
| Less 5% maint | $2,066 |
| Units | 2 |
| Cap Ex | $1,694 |
| Water | $1,485 |
| Gas/Electric | $1,800 |
| Total | $34,284 |
| Cash Needed | $146,000 |
| Cap at List Price | 4.70% |
| Monthly P&I | $2,920 |
| Profit | -$63 |
| Cash on Cash | -0.52% |