Should I buy or stay away???

[Brandon Woodall]

I've found an older house in the area of Salem Oregon, built in 1937. The owners converted it into a triplex all units are 1/1. Problem is that its zoned single family so if anything happens to it, you can't rebuild it. Just wondering what you guys thoughts are buying it or stay away? Would cashflow pretty good at about $700 a month. Any input is greatly appreciated!

[Derrick Aragon]

@Brandon Woodall you should check and make sure the tri plex is legal. there might be a land use application that approves the higher density. If so you should be able to leverage that to rebuild the same density. I think anything over 2 units you will have to build the tri plex to a different standard with the change in OR structural code. I would make sure talk to the city and your insurance agent to make sure you can build it back and what the right insurance would be and cost that might change your cash flow.