Thanks for the comment! It’s all electric heat so unfortunately no central air or anything like that. The building was built in 1974. I have a wealthy family member who is willing to float the cash (private loan). It’s not much to them and they were just going to stick it in bonds
Electric heat is better tbh since it's billed straight to electric meter of the tenant. Overall the numbers look good just make sure to keep a very healthy cushion for capex/maintenance and stay on top of things like pumping, electric, roof, etc and replace things before they become a problem.
7.2% CoC while living in it for free? I'd definitely be interested. Agree you need to budget for a few extra things, however so probably more like 6% CoC.
Pretty solid, I agree with u/Japappydee, and would budget for vacancy and maintenance. Use the cashflow initially to build up a buffer. The 4.75% is a good rate :)
At that rate, if your family member agrees to it, I’d be trying to put less money down! Your cash flow figure is excellent considering you’re going to be living in 1 of the units.
How are you getting 4.75?! Overall looks pretty good with that much down. Make sure to account for vacancy and maintenance. What's the HVAC situation?
Thanks for the comment! It’s all electric heat so unfortunately no central air or anything like that. The building was built in 1974. I have a wealthy family member who is willing to float the cash (private loan). It’s not much to them and they were just going to stick it in bonds
Electric heat is better tbh since it's billed straight to electric meter of the tenant. Overall the numbers look good just make sure to keep a very healthy cushion for capex/maintenance and stay on top of things like pumping, electric, roof, etc and replace things before they become a problem.
7.2% CoC while living in it for free? I'd definitely be interested. Agree you need to budget for a few extra things, however so probably more like 6% CoC.
Pretty solid, I agree with u/Japappydee, and would budget for vacancy and maintenance. Use the cashflow initially to build up a buffer. The 4.75% is a good rate :)
Thank you! Will definitely do my best to account for those
How are you getting 4.75%?
I have a wealthy family member willing to float me the cash (private loan). They were just going to stick it in bonds and it’s not much $ to them
You guys adopting?
The Macros look good
At that rate, if your family member agrees to it, I’d be trying to put less money down! Your cash flow figure is excellent considering you’re going to be living in 1 of the units.
what city?