Investor · Napa, CA · Member since 2016 · 82 posts · 42 votes
Hey All,
I just wanted to share my success on a duplex I have in Napa.
I bought a duplex of two 2/1 units right next to downtown on a "for sale by owner." The front was remodeled already and I remodeled the back to match. I focused most of the money on a extravagant kitchen. The units are right next to the new Culinary Art Institute/ Oxbow market.
Purchase Price was 640k and I put an extra 15k into the back unit.
Debt and Expenses with reserves come out to be about 3900/month and each unit rents for 2300. It cash flows at 700/Month.
In terms of equity, comps in the market are in the 740-770 range.
If you have any questions, or would like to see more. Feel free to ask.
- I am looking to expand and buy more multi family in the Napa, Sonoma, Santa Rosa, Fairfield, Vacaville, Sacramento, Reno, And Vallejo Markets.
Very nice job Jack. I have done something similar here in Sonoma and have found if you buy right you can cash flow pretty good even in this NorCal market.
Very nice job Jack. I have done something similar here in Sonoma and have found if you buy right you can cash flow pretty good even in this NorCal market.
@Ryan H that has been my conclusion. I have looked at 10-15 properties in Napa alone and it is all about finding the right deal. Would love to hear about how you are doing in Sonoma and the numbers over there.
@Jo-Ann Lapin Thank you. Will keep that in mind if I find anything!
Thanks for sharing Jack. Great thinking to focus on the kitchen when your units are so close to culinary center. Do you mind sharing how much your down payment was for the property?
Thank you,
Anthony in Fairfield
Well done!! Finding cash flowing deals up here are so hard, very encouraging to hear such a great success story!! Would love to get together for coffee and network :)
Hey @Antonio Guerrera, Jr. Yeah the Culinary school is not fully operational just yet, so i am waiting to see the effect on my little submarket. My down payment was 90k. Financed by a flip, savings, and a small loan from my IRA.
@Rachel Bier Yeah that would be great. I know what you mean! I have looked at multiple places and nothing seems to pan out. Just keeping my eyes out for a gem. Today I put an offer on a place for 480k that has major rot, issues, etc a 2/2 and 1/1 duplex that is being sold off market for 650k. No way i could ever massage those number to make it work in the 500 range.
@Gordon Cuffe Yeah it is expensive, but rent is high and average income is 6 figures and higher in Yountville,Saint Helena, etc. Overall though, that is why I am looking in Sacramento to expand.
Hey Yeah the Culinary school is not fully operational just yet, so i am waiting to see the effect on my little submarket. My down payment was 90k. Financed by a flip, savings, and a small loan from my IRA.
@Gordon Cuffe Yeah it is expensive, but rent is high and average income is 6 figures and higher in Yountville,Saint Helena, etc. Overall though, that is why I am looking in Sacramento to expand.
The quality of the property and the prospective tenants will be MUCH greater in Napa and maybe also in Sonoma compared to Sac in my opinion. The wine country is very upscale. Given two equal properties differing only in location, I would opt for the wine country every time.
Hi Jackson, looks stunning and the hood is super easy on the eyes. Is that an electric stove or perhaps induction? Message me if u are interested in collaborating in Sac. Well done and thanks for sharing.
Congratulations Jackson! Sounds like a good equity deal with some cash flow also. I own 3 SFR's in San Francisco. Like you and others on this thread, I have found that it's a lot easier to buy for equity through remodels in the Bay Area than for cash flow. I am looking to achieve cash flow by getting into MFH's, ideally within 2-3 hours of San Francisco.
What are your thoughts about where to look for decent cash flow opportunities in Northern CA?
@Ethan CookeYou can find 4plex's in the mid 300k range that get 3k or more per month. Prices are a little higher in Placer county along with the rents being higher as an example.
@Gordon Cuffe Thanks for the tip. Which No Cal communities do you find most attractive when looking for a multi-unit in a decent neighborhood with good cash flow? For example, how is Roseville vs. Sacramento vs. Stockton? I am somewhat familiar with each of these places and I realize that the bottom line is the specific deal. Just seeking experience from folks who know some of the main differences between these markets. Thanks!