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Updated over 7 years ago,
Converting a Duplex back into a Single Family
I've gotten good advice on this forum regarding one of by problem properties. It's a duplex in a roughish neighborhood. The advice I was given was to sell it. I took that advice and listed the property in February. I continue to drop the list price by 5,000 every few months or so. It's now at 25,000. The upper unit is rented at 350, and the bottom is vacant (last rented at 500). So far there's been 0 interest. I think the low end of the local market is flooded because a local investor is dumping 20+ properties.
The rest of my rentals are doing well, they are only a few blocks away and are all single families. So here's my thought. Once upon a time this use to be a single family. I could just convert it back. There aren't many properties that are 4 bedrooms in the area. I wouldn't have to worry about the lawn or garbage anymore. I wouldn't have to worry about tenant A annoying tenant B or who brought bedbugs into the house.
Pros: Less turnover, less tenant vs tenant drama, 4 br/2ba is a nicer setup, no lawn or garbage, Section 8 would be easier to work with
Cons: Rent at 725 vs 850, need to address how the house is metered, conversion costs, might be easier to sell as a duplex to an investor
Am I missing anything? I know most folks are heading the other way converting a single to a duplex. Is anyone else going the other way?