If your market allows, you can bill back the water top each resident based on either square footage or number of beds.The key is to set up on the front endGood luckGino

Hey @Henry Lazerow - I would tend to agree that most of the NW side of Chicago 2-4 units don't play out perfectly well for BRRRR deals.I always looked at any potential house hack vs. having to rent - if my overall payments were less than the rent I generally considered that a win.For me...the house hack is just the ticket into the amusement park and then the fun rides come after...getting started can be overwhelming and hard so I can see why people might take a discount.I think one of the keys to strong equity creation is square footage creation which is basically what you outlined with duplexing up or down.

The square footage is about 250sq/ft.

See attached Excel summary sheet.Investment Highlight89% Physically OccupiedSupply Index in a 3-mile radius of 6.8 SF/Capita, 5-mile radius of 7.7 SF/Capita, and 10-mile radius of 8.3 SF/CapitaAdditional Income generated from 4 mobile home lots and 1 mobile home (Not Verified, as thus not included in underwriting assumptions)Key Underwriting AssumptionsDown Payment 25% of Purchase PriceEstimating a CAPEX/Repairs cost of $150,000Estimating Operating Reserves of $10000Stabilized Vacancy and Concessions/loss to lease at 10%Using a cap rate of 7.23%Key Demographic DataTotal Square Footage 21,130 Supply Index: 6.3Population 3,338 1 Yr.

General square footage is on the small side.- It barely squeezes out any money per month. 

On this specific project, I went for a little more ambitious agenda as the property at hand showed an ARV of AT LEAST 325,000, the property was two story, Property had a converted garage, and boasted a square footage of about 2,400 sq ft.

On this specific project, I went for a little more ambitious agenda as the property at hand showed an ARV of AT LEAST 325,000, the property was two story, Property had a converted garage, and boasted a square footage of about 2,400 sq ft.

On this specific project, I went for a little more ambitious agenda as the property at hand showed an ARV of AT LEAST 325,000, the property was two story, Property had a converted garage, and boasted a square footage of about 2,400 sq ft.

On this specific project, I went for a little more ambitious agenda as the property at hand showed an ARV of AT LEAST 325,000, the property was two story, Property had a converted garage, and boasted a square footage of about 2,400 sq ft.

You want to factor in location, condition, bed/bath count, and square footage.