Skip to content
×
Try PRO Free Today!
BiggerPockets Pro offers you a comprehensive suite of tools and resources
Market and Deal Finder Tools
Deal Analysis Calculators
Property Management Software
Exclusive discounts to Home Depot, RentRedi, and more
$0
7 days free
$828/yr or $69/mo when billed monthly.
$390/yr or $32.5/mo when billed annually.
7 days free. Cancel anytime.
Already a Pro Member? Sign in here
Real Estate Deal Analysis & Advice
All Forum Categories
Followed Discussions
Followed Categories
Followed People
Followed Locations
Market News & Data
General Info
Real Estate Strategies
Landlording & Rental Properties
Real Estate Professionals
Financial, Tax, & Legal
Real Estate Classifieds
Reviews & Feedback

Updated over 6 years ago on . Most recent reply

User Stats

48
Posts
9
Votes
Bryant Amundson
  • Minneapolis, MN
9
Votes |
48
Posts

Duplex House Hack In Orono, MN (West Suburbs of Twin Cities)

Bryant Amundson
  • Minneapolis, MN
Posted

Here we go:

I am analyzing a Duplex in Orono, MN. 55331.

It is a side by side 3 bed 2 bath (2732 total sq ft) with a 2 door garage, on a street with a neighborhood "private" beach at the end. (so it is very close to the water)

My plan is to live in it with my wife for 1-2 years.

I don't know what it is currently renting for, but the market is at about $1800 for a 3/2.

So yes we would house hack.

Income: $1800 coming in for rental income.

Expenses: 
P&I $1632
Property Taxes $275.83
Insurance $100
PMI $100
CapX $108
PM $108
Maint $108
Vac $108
Water $50
Electric $50

Total $2,639.83

Also, water is probably not sub metered. But electric might be. Will find out soon.

Asking Price is $360,000
Going to owner occupy, 5% down

So, my wife and I will be paying about $800ish dollars per month while living there. Then when we move out, we should be able to cashflow $1,000+ per month!

Sounds pretty sweet right. I likely will be pulling the trigger unless something comes up in inspection.

Am I missing anything? Or are there other things to consider? 
IF you were me, would you pull the trigger?

Thanks!

Most Popular Reply

User Stats

295
Posts
93
Votes
Jay Dewberry
  • Covington, GA
93
Votes |
295
Posts
Jay Dewberry
  • Covington, GA
Replied

Hi Bryant. Make sure to run these numbers in the BP Calculator. From my initial look, this does seem as though it would be a cash-flowing property once its fully rented. However, I'm seeing more of a $450ish/mo in cashflow(unless you don't have to pay for tenants electricity). Your PM seems low. Most PM's would charge around 10% of the rents plus a one month for signing a tenant. Is there any rehab work needed? This would need to factored in as well. Otherwise, it seems solid as a positive cash-flowing property once its fully rented. Either way, good luck on the purchase. If you do decide to purchase, I would be looking to have this fully rented on day 366 of living there.

Loading replies...