Outdated / not renovated compare to neighbors?

Property I'm looking at: asking $60k but willing to negotiateCurrently rented for $950/month but tenant will move out earlyNeighborhood is all SFH and primarily owner occupied.3 bed, 1.5 bathHouse is in great condition, big yard, nice deck, appliances and flooring are outdated but clean and in good working order.Here are the 6 month comps on the block.

The potential "tenant" came to you on the day of move in and said, "look, here is the rest of the deposit, but I'm going to move in next month and prevent you from earning a months income because it's not convenient to my move-out date."

Why don't you learn how to look at any property by the facts at hand, that rule can never be out dated!

With unions pushing for higher wages and more benefits, most businesses will be closing down and moving overseas where they have a cheap labor source.Also many of the industries we have are outdated and will be closing down.

I think biz cards are an outdated method of acquiring contact info.

Have had more time to network (recently retired from w2) lately and came across a different philosophy that is making sense to me.Spent time chatting with 2 large property owners and both of these guys don't like long-term tenants because the apartment becomes outdated and the rent lags because of it.

And, BTW, if you do that I'd suggest you look to some professional loan servicers and contract with them to do the leg work for you.While there may be some good books out there that hit on how to negotiate a note purchase, how to find notes and what all can be accomplished with a note, much of it may be outdated.

There are investors that do this kind of thing with HUD homes as well.They sign paperwork at closing that they are occupying the property.Another component of this is fraud to a lender on a loan if you say you will be living there.The reason is lenders give certain rates to owner occupants because statistically you will fight much harder to keep a place you live in.If it's just a bad investment it is easier to walk away hence a higher rate and more down.This property from what you said is 2,400 X 12 = 28,800By half is 144,000 at a 10 cap based on 50% costs.The carpet and paint the bank put lipstick on it it appeal to a home buyer living in one unit and driving the price up.On a quad typically you could expect about 8,000 for the siding,4,000 for the roof,6,000 for 4 outside A/C units,if interior bathrooms and kitchens are outdated about 4,500 by 4 units is 18,000,then water heater and heater about another 6,000 total.So conservatively I have about 42,000 in immediate CAPEX.Every areas cost is different so I am just throwing mine out there.Now the other you say 20 quads total is what you need to worry about.If there are a bunch of short sales and foreclosures from vintage 2004,2005 loans then the new purchaser with a cash offer or a small debt service will rent below market to fill quickly and turn more or the same monthly cash as you.So you starting out at 600 rent monthly might go to 550 or 525 in your development.I have seen this happen.I have also seen even if your building is well kept quality tenants do not want to live next to the other buildings where landlords put in suspect tenants to fill up.Also some landlords with high debt service will drop rent instead of repair to keep tenants so they won't spend tens of thousands out of pocket to rehab.

REI,In many parts of the county, this is yesterday's strategy and is outdated.