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Updated over 3 years ago,

User Stats

540
Posts
285
Votes
Frank Hinck
  • Rental Property Investor
  • Minneapolis, MN
285
Votes |
540
Posts

3 Midwest duplex OR 1 New York duplex?

Frank Hinck
  • Rental Property Investor
  • Minneapolis, MN
Posted

With $150,000 to invest, I'm looking at 3 duplexes in Minneapolis/St.Paul (where I live now) each $200,000 cost that cash flow $350/duplex per month so $1,050 total, or 1 Long Island duplex (where I'm from) for $550,000 that cash flows $650/month. Net Income includes PITI, 8% maintenance reserve, 8% vacancy reserve, property mgmt, and landscaping/snow. Do I want to have 6 units over 3 properties, therefore more tenants, furnaces, roofs, liability for $400 more per month, or 2 units at 1 property and less tenants, infrastructure? At the end of the 20 year mortgages the 3 houses would be worth $600k and the 1 house $550, both will get average appreciation. What's your thoughts, what would you do, and why?

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