Updated about 12 years ago on . Most recent reply
4 Unit Purchase
Purchase Price: $64,000
Current Rents: $1,840 (550, 400, 440 and 450)
Renovations: $28,000
ARV: $110,000
AR Rents: $2,000
Taxes: $3600 (Based upon assessment of $120,800) Will attempt to grieve.
Cash purchase with the intent to refinance at 75% LTV in 6 months.
At first glance, it really doesn't pay to improve the property when considering current rents vs. future rent, but much of the budget is maintaining building from previous deferred maintenance.
Thoughts?