Joseph S.
Memphis Duplex Analysis - Is this a good deal?
4 September 2016 | 14 replies
I tried to include all the pertinent information below:Rental Income: $13,200Rent: Currently has a tenant on one side at $550 per month without a lease – I’ve made it a condition of the sale that the tenant has either signed a new lease with my property management company or delivers that side vacant; other side is not rented out due to required rent ready repairs; rental comps in the area show between $550-600 (I’m being conservative and assuming $550).Expenses:Vacancy: 10% ($1,320)Property Management: 10% of gross rents ($1,188)Property Taxes: $2,065 ($905 for City of Memphis, $1,160 for Shelby County)Property Insurance: $450 per year Repairs and Maintenance Assumption: 2% of Property Value per year ($980 per year)Utilities: separately metered; all paid by tenant except for lawn mowing at $25 once a month for $300Advertising: 6% (roughly ½ of first month’s rent) $792 per yearDebt Service: Based on $49k purchase + repair price, 20% ($9.8k) down, 5% 30 year fixed is $2,525 per yearLocation:This is probably where most of my concern is coming from: Western edge of Hickory Hill, Memphis, 38115; major cross streets: just SW of Clarke Rd and Winchester RdAcquisition:Purchase Price: $42k, seller to pay closing costsRepairs: $7.5kTotal Acquisition Cost: $49.5kARV: Large range of comps in the area, best guess is $60kFinancial Metrics:Net Operating Income: $6,105Cap Rate: 12.33%Cash Flow: $3,580 per year, $298.33 per month, $149.17 per unit per monthCash-on-Cash Return: 36.5%Do you think it's a good deal?
Michael Lang
Brand new to this whole mentality, Hello!!
5 September 2016 | 11 replies
Of course, such "savings" typically come with increased spending over time versus making the expenditure up front.
Ryan York
Looking for a Commercial Realtor in the Eastpoint Michigan area
3 September 2016 | 2 replies
In commercial six figures in commission or more per deal is typical.
LaRaye Alderman
Trade Name application and LLC
10 September 2016 | 4 replies
You would typically use a trade name if you are a sole proprietorship and don't want to do business as your name.
Chris Mattox
Looking to learn about wholesaling
4 September 2016 | 8 replies
That typically is investors.
Rolanda Amos
Hard Money Lending- How to get my Doc Friend
6 September 2016 | 2 replies
He is the typical traditional investor, very ole' school.
Brandon Schlichter
Lease + Option vs seller financing?
6 September 2016 | 2 replies
It is somewhat "messy", which is why it isn't utilized more.
Charles Joe
Want to Learn While Adding Value
3 September 2016 | 4 replies
That typically is investors.
Tom V.
Using a RE agent to buy FSBO or off market property?
3 September 2016 | 1 reply
Just wondering what the typical protocol is for this situation, and how the RE agent gets paid.Flat fee?
Nick Religa
Right to Show Clause, Phoenix, Arizona
5 October 2017 | 7 replies
He briefly mentioned the Right to Show Clause: that the buyer reserves the right to show property prior to settlement for purpose of selling, renting or leasing, and the seller agrees to permit access to buyer at anytime up to date of settlement.If anybody has any experience with this, I would love to pick your brain and learn how I can utilize it.Thanks!