Investor · Los Angeles, CA · Member since 2016 · 15 posts · 3 votes
Hello...would greatly appreciate experienced investor replies on a off market property we are considering:
2500 sq ft , 2 family, offering $204K
Comps have sold around 230k
Under rented at $1700 total rental income. Realistic monthly income $2200
CoC: 9,1 % Monthly Cash flow after conservative estimates for all expenses are considered: $424
The ConC is less than the 10% we've been looking for and we have been seeking over $500 in cash flow but there seems to be a good opportunity for equity here. The taxes are high ($420/month) which cuts into cash flow. This is in an area that has much development planned in the next couple years (shops/restaurants). Property is in good shape and will require no major capital expensive for some time. *We are out of state investors who would never live in this.
Billings, MT · Member since 2016 · 35 posts · 13 votes
9y
Two quick thoughts, from your write up it sounds like you are already sold that this is a good deal. On paper, everything seems to make sense and will deliver a cash on cash return north of 10% you get rents to market. Second, if you're out-of-state investor, it's always good to have boots on the ground with a friend or family member. Find someone locally who you can trust.