All Forum Posts by: Candice Cervantes

Thanks for your reply. Every REI Podcast I've ever listened to will suggest something like the brrrr strategy so your answer seems to further confirm that. To answer your question, it's really hard to tell where this neighborhood is going. The growth is slow, and houses around are very much behind. There aren't even sidewalks yet.. so while I think appreciation is certainly possible, I'd be concerned the growth would take very long and rent value would take longer. While the other would always have strong rent potential potentially reaching into the $3k if it is heading toward CA prices, seeing how Californians are moving here in herds. But I still see what you're saying!! Thank you for your input!

Hi there, I’d be so appreciative of people’s thoughts on my current situation. I’m torn on which would be a better option for me. 

I’m looking at two properties about the same price, both around $360k.

prop 1: new construction townhouse, HOA of $100, private outdoor patio, 1060 sf, 2 bedroom + 2.5 baths. All new appliances, no garage, lvp floors + carpet upstairs. Finishes are modern and attractive. Most enticing is it is located on a very well established street with a wall score of 92 - lots of restaurants, bars, shops and a park nearby. I'd put 5% down (35k to close) with a totally mo of $2600. I'd attempt to refinance to bring down payment. After living in it for 1-2 yrs, I believe I can rent for 2600-2850. Unable to estimate appreciation potential because it's brand new and no room to add on or make improvements, but over time I do think some appreciation due to prime location. At most my guess would be $450-$600k max in 5+ years.

Prop 2: older single family house 2 bed 1 bath about 1100 sf.  5% down and monthly payment around 2500. In need of at least $80k renovation. Potential for an adu via basement or garage for additional renovation costs. Location is residential with a park a short drive or long walk away. Area is probably a B- to C. Neighboring houses aren’t well kept. Large backyard. More potential for appreciation, maybe 500-600k in 5+ years, but large up front investment. Potential to refinance when the time is right. 

I’m limited to my house price while my partner is getting his masters and doesn’t have a full time income. We plan for this property to be for investment and rent out in the future when buying something larger. Im torn between something that is turn key with encouraging rent potential v something old that needs a lot of work but can become 2 units, however not the best neighborhoods.

Lastly, but very important-  If in either scenario price jumps to $380k with 15% down does this become not as profitable? My other option is to wait until my partner is done with school and we buy that bigger property we can invest more into if we don’t buy something now 

Thank you!!!

Thank you to everyone who took the time to respond, I really appreciate it! Your insight is super helpful! My realtor told me that I could negotiate into my offer for the seller to buy them off or give them a vacate notice...interesting. Regardless, I went to see the duplex and unfortunately there is a very large electrical plant directly across the street, so I have to cross it off my list. Its very hard to find something to cash flow or even break even in Portland proper, so I am considering getting creative with adu's on a single family lot. You will likely see me again in the forums asking questions since I'm a newbie. :)  

Hello! I’m looking into buying a duplex as a primary residence. One of the units is currently rented under market value. The other unit is vacant. Since Portland is such a tenant friendly city, I’m wondering if there is a loop hole or if I can choose the occupied unit to move into in an effort to rent the other at market value? Or would I be required to take the vacant unit? Thank you!