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Updated almost 10 years ago,
Need help analyzing duplex - Will be my first offer
I don't know what all info is needed but I will list as much as I know.
1682 square feet. 841 per side. Built in 1977. Each is 2 bed and 1 bath. Property looks to be in good condition. Owner moved across county and does not want to manage rental property out of state. Property is located close to town in a good neighborhood. Walking distance from high school in one direction and hospital in another.
Asking price is $125,000
Currently rented for $750 per side. 5 years for one tenant and 1.5 years for the other.
Taxes were $1950 last year.
All utilities metered separately and paid by the tenants.
After entering all info into J. Scotts spreadsheet using $120,000 purchase price. 20% down ($24,000)
Financed for 20 years with a 5% interest rate (both are total guesses)
Using a property manager the numbers came out to $3,017 annual cash flow
8.16% Cash ROI
15.91% Total ROI
Any help would be appreciated.