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Updated about 3 years ago,

User Stats

11
Posts
1
Votes
Sean Yan
1
Votes |
11
Posts

How should I improve an SFH that I want to hold for 5 years?

Sean Yan
Posted

Background

     - Location: Bay Area Peninsula

     - House Price: ~$1M, Mortgage $700k

     - Rent with similar square footage:  $4000/month

Running the number, it looks like it marginally break-even.

But I really wanted to have some cashflow during my holding years, so I am thinking to make an ADU. Here is my dilemma

- adding ADU itself cost money anyway (though a bit less than normal expanding?), but ADU won't add selling value as normal expanding

    - doing normal expanding cost equal (if not more) money, but will add less cash-flow during my holding years      

      I wonder if there is a way for me to do ADU now, and later on convert ADU to normal square footage when I plan to sell.

      Is this a good idea? (I am a new investor)

      Loading replies...