Investor · Raleigh, NC · Member since 2016 · 5 posts · 3 votes
First multi family I'm working on in Raleigh NC.
Sale Price $250k
Quad monthly rentals $700/mo x 4 =$2800
Expenses (including tax) $800/mo. This is my estimate averaged with what current owner has listed. I will self manage.
No large capital expenditures are expected units and quad are in good shape. I am going to have an inspector go through and check out everything. Newer HVAC and appliances. C+/B- neighborhood.
25% down = $917/mo PI
Cash flow = $1,083/mo ... $271/unit
I also believe the market rent rate is $750-$800. So room to eventuall raise rent.
This deal seems good to me in a market where deals are hard to come by. Please give me your thought on going through this process. What do I need to find out.
@Davis Bunn looks like an awesome deal that should be a great money-maker. There aren't many quads in Raleigh. Just make sure you're honest with yourself with the "C+/B-" rating you're giving the property & area.
Numbers look great and a great return. I notice you figured a 30 year loan. Are you getting a residential or commercial loan? Commercial loan terms are typically less. Totally agree with you about deals being hard to come by.
What zipcode was this in? I've been hunting Quadplexes in Raleigh for a few months now. I've not seen such favorable numbers during my search. Congrats on the find.