What the numbers on a Househack actually look like in today's market - PHILA

[Alan Asriants]

Here are the real numbers on a Househack we are working on for our client

This is a beautiful turnkey duplex in the NE phila area (B+/A- Class). Truly nothing like it. It is an off market deal, and is fully renovated in 2020. What is great about this deal is that the buyer has to do virtually no work to the property. It has granite countertops, brand new appliances, new kitchens and bathrooms, etc. It even has brand new windows, roof and HVAC

Asking price is $470k. Everything else in the area is selling for 440-460k and still needs 40-50k in cosmetic rehab

Our client is putting 10% and using an FHA loan. The rate difference between FHA and Conventional is actually over 1% right now for Multi family properties

Currently the rate offered is 6.75% and 193/m in PMI (private mortgage insurance)

That makes the payment with taxes and insurance roughly:$3453/month

Taxes were $3820, and insurance is $1800/yr

Currently this building can rent each 2 bed unit for up to $1800/m with tenants paying all utilities.

All in cost to close is: $71,414.64If you rent both units for $1800/m you can expect gross cash flow of $147/mThis is the reality of buying a turn key duplex in the area using todays rates and prices.

I want to stress, that this is actually considered a great property and deal in todays market for the area

Yes, prices are high, and so area rates...

My goal is to show what is actually going on.