First deal Quadplex in Raleigh NC

8 Replies

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. 

My first number weren't exact so I uploaded my spreadsheet to make it easier to analyze. 

Looks like a killer deal. What zip code is this in? 

@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. 

A Tischer/Peach Creek quad? That'd be my guess. Quite a few (% wise) sales in Peach Creek this year.

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.

Numbers look great - Kudos to you for pulling the trigger!

I am familiar with the Tischer/Peach Creek quads.  I passed on one a few years ago for around 180k.  I wish they were at the same price now.

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.

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