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Updated almost 8 years ago,

User Stats

38
Posts
14
Votes
Ranga Ramanathan
  • Investor
  • Lake Zurich, IL
14
Votes |
38
Posts

Single family in the middle of multifamiily - Good or bad

Ranga Ramanathan
  • Investor
  • Lake Zurich, IL
Posted

I am working on closing a Single Family Residence (SFR), I am getting a decent enough deal and numbers work even for a conservative rent value. I am paying about 10% below average for the area probably because this property is in a block where on one side are duplexes other side is another single family, dead end and a nice park, opposite side is full of 6-8 unit multifamily rentals. In fact this property is a stone throw away from one of my other investment property that I have had for little less than two year and working out great. This is a B+ suburb of Milwaukee, with good schools and low crime.

My questions are

1) Will there be a decrease in rent due to the location of this SFR other factors being equal?

2) Will there be a problem getting rid of this home if want to, is there a standard percentage cut in home value that makes sense for this situation?

Thanks for reading my post.

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