Real Estate Deal Analysis & Advice
Market News & Data
General Info
Real Estate Strategies
Landlording & Rental Properties
Real Estate Professionals
Financial, Tax, & Legal
Real Estate Classifieds
Reviews & Feedback
Updated over 4 years ago on . Most recent reply
Minneapolis HouseHack Analysis
| PROPERTY INFO | |
| Property Address | 3120 4th Avenue S Minneapolis MN 55408-4302 |
| MLS# | 5618212 |
| Property Listing Price | $ 350,000.00 |
| Number of Units (Duplex, Triplex, 4plex) | 2 |
| Square Footage | 2,794 |
| Rehab Needed? (None/Light/Medium/Heavy/Full) | Medium |
| Bedrooms/Bathrooms | 6/4 |
| Crime Level (Low/Medium/High) | Medium |
| Your Offer Price | $ 350,000.00 |
| Rehab Price/Square Foot (Refer to Key on Right) | $ 25.00 |
| Total Rehab Estimate | $ 69,850.00 |
| Total Cost (Purchase + Rehab) | $ 419,850.00 |
| MINIMUM Down Payment Required for Purchase | $ 14,694.75 |
| Conventional Loan Amount (Total - Down payment) | $ 405,155.25 |
| . . |
|
| FULL OCCUPANCY CASH FLOW | |
| Est. Monthly Rent (using Rentometer) | $ 4,040.00 |
| 1% Rule (Rent should be 1% of Purchase + Rehab) | $ 4,198.50 |
| Does this PASS the 1% Rule? | NO |
| Est. Monthly Payment (PITI + PMI) - Mortg. Calculator | $ 2,787.92 |
| Est. Monthly OpEx (PITI + PMI + Utilities + Reserves) | $ 3,835.52 |
| Est. Monthly Cash flow (Rent - OpEx) | $ 204.48 |
| CoCRoI | 16.7% |
| . . |
|
| EQUITY AND PROFIT | |
| After Repair Value | $ 430,000.00 |
| Flip "Profit" (Equity) | $ 24,844.75 |
| Return on Down Payment Investment | 169.07% |
.
.
ASSUMPTIONS
| Utilities (Varies by Property) | ||
| Electricity | ||
| Water & Sewer | 100.00 | |
| Garbage | 60.00 | |
| Shoveling/Lawn Care | 120 | |
| Total | $ 280.00 | |
| . . |
||
| Reserves | ||
| Vacancy (%) | 5.00% | $ 202.00 |
| Repairs & Maintenance (%) | 7.00% | $ 282.80 |
| CapEx (%) | 7.00% | $ 282.80 |
| Management Fees (%) | $ - | |
| Total | $ 767.60 |
Rent is from Rentometer, which estimates $2,020 per 3/1.5 unit in this area.
ARV based on only one comp in the area. The comp was a 3/2 at $445,000, but it had a nicer interior than what I project rehab would make this one.
Looks good to me, meets my $100/door/mth cashflow requirement
Minneapolis/Saint Paul Househackers, what are your thoughts?
Most Popular Reply
@AJ Smith as Adam mentioned the neighborhoods can vary greatly. I understand that you’re probably a year out from buying and moving to Minneapolis, but if you were serious about Powderhorn it would be wise to follow along with the homeless camp going on there right now. I’m not sure how that will change things long term for that neighborhood.