Atlanta rental properties

[Paul Scothern]

Hi,

Here in the UK some realty agents are marketing Atlanta properties which they say give 12-14% of the property value back each year in rent. Normally here in the UK we get 5-6%, so this is of interest.

However, some companies selling foreign investments have been caught making misleading statements, so I’m trying to get a second opinion.

I was hoping you could let me know if these % returns are within ‘normal’ in Atlanta. They advertise the houses as being pre-let to section 8 tenants, and are recently painted / improved inside.

If I were to buy one it would be as a long term income investment.

Here are the numbers from one of their properties so you get the idea.

Bedrooms 4
Bathrooms 2.5
Build sq.ft 1252
Year Built 1973
$ £*
Annual Rent 10,200
HOA Fees 0 0
County Taxes 839
Management Fees 600
Annual Insurance 450
Annual Cash Flow 8,311
Annual Net Yeld 13.85%
Price of house $60,000
Monthly Rent $850
Net Yield 13.85%
6--- BUCKHURST TRL.
College Park, Fulton, Georgia 30349

Thanks,

Paul Scothern