I'm real close to putting in an offer on a 4-plex. It looks like it will cash flow real nice and with a 12% cap. It is in a not so desirable area, but it has a solid rental history. It was built in 1880 and shows its age...
Should I be overly concerned about things like age? ...
Some places you don't have a choice, I guess- the housing stock is just old. More important is the condition of the systems- HVAC, plumbing, electrical. Obviously, they have been upgraded,probably a couple of times, since 1880! But how long ago has it been?
Also- be sure to factor in a lot of extra cost for painting a property like that. Even if it's just the trim, those "charming details" add tons of time to the job.
Jean Bolger, 33 Zen Lane | http://www.solidrealestateadvice.com
Location would be my concern then make sure to have inspections if you move forward
Brad Boone | http://allegancountyhomebuyers.com
Thank you Brad and Jean for your insights. It would be my first property, so I want to do it as close to right as I can. Eitherway, I'll learn a ton from the process.
My biggest concern would be , plumbing, electrical , and possibility of termites. Also the Roof and HVAC systems.
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