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Updated almost 3 years ago on . Most recent reply

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12
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Rhonda Harrison
  • Washington, DC
2
Votes |
12
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Model Home Leaseback Opportunity near Washington DC...Good Deal?

Rhonda Harrison
  • Washington, DC
Posted

Hello-

I own one rental home in Maryland just outside DC. I lived in this home for 11 years. I have a current deal I'm considering that doesn't meet most minimum requirements for CAP rate, Cash on cash return, etc that I see on the forums. Here are the specifics:

- $369 Selling price (new construction), $15% down payment, $12k closing costs, $2700 Monthly rent back (the reputable home builder will rent from me until the community is finished in 4 years, maybe sooner.), no repair costs, no renovation costs, no prop mgmt fees, etc. 

I haven't signed the contract yet so some of these numbers are subject to change. Has anyone ever done a Modelhome leaseback? What numbers do you typically look at to determine if this is a "good deal"? 

I am a newbee so all thoughts/ ideas are welcome. 

Most Popular Reply

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17,425
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Russell Brazil
Agent
  • Real Estate Agent
  • Washington, D.C.
30,060
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17,425
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Russell Brazil
Agent
  • Real Estate Agent
  • Washington, D.C.
ModeratorReplied
Originally posted by @Rhonda Harrison:

My mistake the builder is Ryan Homes.

Thank you!

 I wouldnt buy a Ryan. They are about the lowest tier builder in the area. Their houses do not age well.

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District Invest Group
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