All Forum Posts by: Henry W.

@Lee Ripma Thank you! Going to explore this more.

Originally posted by @Henry W.:

Property Tax: $2200, Insurance: $2000

For some reason, I can't update the post, but Property Tax is: $11K

@Lee Ripma Yes, will both be delivered vacant and land is completely flat. I'd love to add another SFH/unit. I don't think I can do a duplex, because it's zoned for 3 addresses/units, I believe (will need to double check with city). But perhaps, 1 unit with ADU instead of the garage.

@Clarence Johnson Yes, just updated the property tax and thanks for the general rule of thumb of 1.25%. 15%, no PMI, but must be owner occupied for loan (@Will Barnard - would love to have others pay my rent and live elsewhere though).

@Fay Chen Oops, you're right. Post updated. Thank you!

Hi Everyone - longtime lurker, first time poster! I'd love to get some collective wisdom and learning from all of you. I'm looking at purchasing a duplex in Los Angeles, CA and house hacking it by living in one of the units and renting out the other. With the area, it's more of a buy and hold rather than a cash flow investment.

Details:

Duplex, owner-occupied, no shared walls, (1st unit: 2/1, 2nd unit: 1/1, Total: 1545 sq ft, Lot Size: 7240 sq ft, Garage with attachment - 15'7x5'9)

List price: $900K; Redfin Estimate: $920K; Purchase Price: ~$850K (15% down, 30 year, 3.6-4% interest rate quotes)

Built: 1900-1940 (does not look that old, but agent checking actual date; paperwork might have been lost), roofs - 1990s, upgraded electrical in both units, possible copper plumbing

Zone: R3, can build maybe another unit? 

Rents/Leases in area: 1/1 - $1500-1800+, 2/2 - $2000-2500+

Property Tax: $2200, Insurance: $2000

Property Management: For now, would be me, but eventually would like to factor in Property Management fees

Repairs: $20-30K (estimate)

Area: good schools (8/10), walkable to grocery stores/restaurants, lots of development in area (MFU, new community of townhomes being built nearby)

Cash flow calculator: Break even or slightly under (would make more sense if able to add 3rd unit)

Buy and hold idea: renovate, maybe add another unit down the line, sell with big assumption property value continues to significantly rise in area

Thank you for your input!