I was drawn to this type of deal because it offered the potential for significant appreciation in a desirable neighborhood.

I was drawn to this type of deal because it offered the potential for significant appreciation in a desirable neighborhood.

Every year, the local Housing Authority in my neighborhood issues a market rate report for apartments, listing fair market rents for studio, 1br, 2,3 br etc. 

Purchase price: $665,000 Cash invested: $200 Sale price: $665,000 Its a Duplex 2bd1ba each unit, nice backyard and long driveway, situated in the Pattern neighborhood 5 minutes drive from Dimond/Laurel village.

Reading all your posts on BP helps me to indirectly get to know you, and I really like your NO BS style and high level of knowledge about the topics you post about.ZCF is pretty advanced financing method, for me, and I like the concept for the exact reason you mentioned, I just get nervous about anything that is highly leveraged and then the phantom income in 7-12 years, risk of the asset going dark if it's a STNL, etc, etc...I have a basic idea of the pros and cons of the ZCF structure, but, I need to learn more and/or have someone hold my hand through a detailed analysis of how it would apply to my specific situation and how the cons are mitigated.Hows your schedule been lately?

It was the owner of the house and a couple of neighborhood teens who handled the demo and clean up.

I like 38109 but you have to know the neighborhoods down to the streets.

Southern border of the land is Wilson Creek (a large, well established, full time creek with old growth trees)Approx 1 acre of non-recoverable flood zone along length of creekTwo small ponds on the property, which can be filled in to utilizeSmall neighborhood to East of property line with utilities ready and available for project Currently a couple of older homes and barn structures on property (100% liveable and well maintained)Wilmeth Rd is currently expanding down the block to a 4 lane road which connects to Highway 75 in McKinneyLarge developments are underway within a 1/2 mile to 3 miles out radius<4 miles to Costco, ChickFilA, WholeFoods, Cinemark, major hospitalAT&T Fiber and Atmos Gas at front of propertyA water well can be run, if desired, or tap into the city's water (currently on city water and has large main at front of property)A CE firm has drawn up plans for a small, 12 home, 3/4 acres development.

Can try to reposition to Class B, but neighborhood may impede these efforts.Vacancy Est: Historically 10%, but 15-20% should be used to also cover tenant nonpayment, eviction costs & damages.Tenant Pool: majority will have FICO scores of 560-620 (approaching 22% probability of default), many blemishes, but should have no evictions in last 2 years.

Anything you are all in at the 25k range would be in an F Neighborhood.