Great numbers but high crime in hartford area. Any thoughts
I am contemplating this deal. It is bank owned rehab in Hartford CT Connecticut Asylum Hills.
https://www.trulia.com/property/1045642098-314-Sar...
On paper it is awesome 80K for 6 units. After rehab, you can charge 1000K rent each.
All 6 units are large 3 bed 1 bath.
However this is the downside:
1. The deal is "site unseen". There was some drug activity so the bank decided board it up. They wont let you in for inspection. They wont even let you inspect before closing. So, I dont know if it needs major repair or not. I know it needs new kithes, appliances and roof. I dont know what else. Is it 50K repair or is it 250K repair? Looking at the photos, it doesnt seem too bad. Looks like 100K. The after rehab value will be 360K based on 10CAP. This is a huge risk.
2. The neighborhood is rough. There is a fish joint right next door. There is a full time fried fish smell coming to the sixplex. Just as I was there for 10min, there were 2 drug deals that went on in front of the place. I thought trulia's crime map was faulty but now that I have seen the deals, I think it is correct. Does everyone agree trulia's crime map legit?
3. The complex does not have parking. So, people would have to park on an unsavory street at night. Even if I did a decent job in rehab. Make it nice, I dont think I will be able to attract good tenants given the crime rate on the street, lack of parking off street and constant fish smell..
Bottomline is, although the deal looks great in numbers, I will pass. Thoughts?
If anyone local to the area thinks this can be workable, I am willing to work together partner up.