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Updated over 5 years ago,
Duplex + Laundromat - What am I missing on this deal?
Looking to purchase our first investment property. Here's a link to the rental property calculator report. The rents and Laundromat (hands off operation) income are as listed from the MLS link.
https://www.biggerpockets.com/calculators/shared/1298021/2af81e07-cedc-4f31-b6dd-35b98f991d95
C class neighborhood, on a busy street. (2+1)/2 duplex + laundromat. I say 2+1 because in order to get to the 3rd bedroom you need to walk through another bedroom. It has a 2 car garage + a parking spot, 2 street spots out front. Owner is selling "as-is". Owner pays utilities for Laundromat, the average was $326/mo. Tenants pay their own utilities. The place seems in decent condition in a quick first walk through, but we were unable to see the basement or upper unit. Those are both viewable on a second showing. The place was a mess. Garbage, cigarette butts, dog poop on the patio, etc. IMO those tenants would need to go which would give an opportunity to clean it up and possibly raise the rents a little.
Since I'm completely green, I'm interested in hearing your thoughts.