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Updated over 8 years ago,
Need help with which deal to choose!
I'm located in Southeast Iowa. I coach a local swim team, and one of my swimmers parents basically came to me with a deal where he would offer me any of his multi family properties at cost for some private lessons for his son. He recently bought out a retiring investor in the area and now that he has closed on that he has offered me these off-market properties, and basically wanted some input in helping to decide which one to take.
Offer one: Up and down duplex, generating ~1300/month. Has many new fixtures. 4bd/4ba, 2 X @bd/2ba duplex. 2 stories. Built in 1900. 2072 Sq Feet, lot size 6482 Sq Feet. Online estimates range from 60-75k. Last sold in 2013 for 80,000, then again that same year for 20,000 (im assuming lots was done to it after this), then again in a lump sum sale of over 50 houses this past month. Has basement, but have not seen inside yet to know if finished. Street Parking only. Price: 55,000
Offer two: Duplex. Generating 1050/month. Listed in 2015 for 69,900, never sold. 2 X 2bd/2br duplex. 2174 Sq ft. Lot size 6952 sq ft. detached garage ~350 sqft. Online estimates range from 42k-75k. Has full basement, condition unknown of basement. Built in 1893. Price: 45,000
Offer three: Duplex. 2 X 2bd/1ba. Built in 1900. Detached garage 376 Sq. Feet. Seller has told me this unit will need work. 2077 Sq feet. Lot size 4000 sq feet. Price: 23,000
Offer 4: 4 Plex. Built in 1950. 2800 Sq Feet. Lot size 5162 sq ft. Do not currently have break downs of BR/BA is each unit. Seller is currently renovating 2 of the units, and that will be completed before sale. Each rehabbed unit will bring 450/month, one is bringing 425/month, and the last is bringing 450/month. Total of 1775/month. Price: 70,000
I know these details are vague, and I will update with photos and other details on Wednesday after viewing each home. I almost want to eliminate the fixer upper, only because I dont know how I would finance the rehab, other than with credit cards. Seller will not finance, although I may be able to get him to finance the fixer upper, but that's a big maybe. Pretty positive all financing, as of now, will be done with a conventional mortgage. The homes seem old, but that is average for all of the homes in this area. Exterior of the first two deals will most likely need new siding in the next ten years, it appears, however offer 4 has relatively new siding, but I also like the idea of it because of the two newly redone units. Can I get some feedback on what little info I have thus far, and will be back to update in the next two days.
Thanks everyone!