Buy & Hold, or Wholesale this deal? What do you think?
I have a house under contract in the Mt. Auburn area of Cincinnati, near OTR. Some areas of Mt. Auburn are seeing some major rehabs with the houses going on the market for 2-300k, but this house is in an area that is still a C to D type neighborhood. It is a 4-plex with 4 one bedroom units, fully rented with long-term tenants right now, grossing 1700/month on rents that haven't been raised in years. Operating expenses come out to around 55% which is average in cincinnati (so i've been. A property manager I had look at it said we could raise the rents a little in its current condition but not much, so that it would gross 1800/month. I have it under contract for 82k, and I would want to put about 35k into the property (which i think would also allow us to raise rents further).
If I continue this deal as a buy & hold then it won't leave me with anything to do any other deals, so I'm thinking maybe I should wholesale it at 92k for a quick return. What do you think i should do?