Carmichael Duplex In a Single Family Neighborhood

These Rarely Come On the Market

This duplex is on a nice little street over in Carmichael that has an older tree lined country street feel with no sidewalks leading into this newer area that does have sidewalks, curbs and gutters.   Not much traffic goes back in here.

If you are looking for a unique type property that you can hold onto and that will hold it’s value, this would be the street.  Cash Flow is not that great on paper, however you will have an easy time finding great tenants that will want to live here.

Click Here for a Flyer  that has the cash flow numbers.   You will notice that even though this is listed at $193,050 that I calculated a cash flow based upon a price over $200,000 because this property will sell for something in the $220,000 to $230,000.   There will be “multiple offers” on this one.

For some Palm Videos that I took today about 11:00 AM see the links below.

Right Side of the Duplex

Left Side of the Duplex

 

Make it a great day

 

Ed Favinger on Facebook

So What if it’s located on a Busy Street in this Market

That Madison Avenue Duplex I Profiled is a “Pending Sale”…!

Yea… It doesn’t matter if it’s priced right.   If you go to my blog post of October 15th, you’ll see all the information including a Palm Video that recorded how loud the street noise was when you are standing outside.

Take a look if you haven’t seen it yet.  Just scroll down a bit.

 

Make it a Great Day…!

A Citrus Heights Bank Owned Duplex – On a Busy Street – Quiet Inside

Yea It’s Next to a Busy Street – But Fix It Up – Show it off to Thousands of Cars Everyday

I drove by this one located at 7107 Madison Avenue, Citrus Heights because I knew this was one of a few duplexes along this main artery that was located on the “frontage road”.    The frontage road itself does not have much traffic.  I was out there for about 10 minutes and only one car drove by and that was about 1PM today.

It also borders a Single Family Neighborhood.  The only bad thing….?   That’s right…!    It’s on a very busy and yes… it’s a pretty noisy street after the light turns green at the corner of San Juan and Madison.

The place needs to have someone trim the trees in front so you can see it.   That’s why the pictures on the flyer didn’t turn out well. 

I have Palm Videos of the exterior and each side.   You’ll get an idea of how loud it is and the contrast when you go inside.

Exterior and Left Side

Exterior and Right Side

 

Make it a great day…!!!!!

Cash Rules in the Bank Owned Duplex/Four-Plex Market

Multiple Offers In a Recession.? You Kidding…?  Read On….

You’ve heard though the Main Stream Media that we are in a recession “nationally” and if you didn’t know, the most recent report regarding unemployment in the Sacramento Region pegs us at 12.3% 

Most of us in the real estate business know that there is a lot of money looking for a home…especially… in the investment real estate sector.

Would you believe that  50% of the 171 Closed Transactions in the 3rd Quarter 2009 were all Cash deals with no financing involved..?   Check out the stats below here.

 Cash Deals                                                         85        49.707%

Conventional Financing – Min. 25% Down      61       

FHA – Owner Occupied – Min. 3.5% Down      11       

Other                                                                         14      

Total Closed Sales 3rd Quarter – 2009              171

Not only is Cash king here,  on top of that prices are not coming down.  The Average List Price to Sales Price Ratio  these 171 closed escrows came in at 102.33% during this time period.

I’ve provided some of the hard data, such as the Address, List Price, Sales Price, Year Built, Days on Market, etc in the link below.   I hope you find it useful and informative.

DUPELX – FOUR PLEX CLOSED SALES DATA FOR THE PERIOD OF JULY 1, 2009 – SEPTEMBER 30, 2009

If you would like a more detailed report or have some interest in a particular property just drop a note my way by clicking here.

MAKE IT A GREAT DAY….!

If Rents Are Going Down…? What Can You Do About it…?

 

Start By Investing in a Good Area.

I know that headline is really something you’ve never heard before…(yes my tongue is in my cheek).

Let’s  assume here that your rental property is in a decent enough area that you haven’t had to take your Pit Bull dog and a side arm with you to collect the rent ok…?

Ok Now What…? Your Property is Vacant…!

Part of the problem in today’s market with turn over in rental units is that many good tenants are moving up to Home Ownership after several years as a Renter.

Those renters are also in competition for the Re-sale Inventory with Investors that have a lot of cash and equity that is looking for a more stable and secure equity position.    We also have low interest rates for those investors and first time buyers that are able to qualify for a loan.  I bet you didn’t know that many of the transactions today are “all cash” with no financing involved at all.

I’m giving you this background to show you that there is competition among many Landlords for the same prospective tenants.

Here’s a good exmaple of what I am talking about.   Our Management Company recently leased up two homes in Folsom, one in the Broadstone area and one in Empire Ranch.   Both of these homes started out at $2,350.  They pretty much had the same amenties, such as Granite Counter Tops, 3 car garages and were well landscaped.  The Broadstone home was a 5 bedroom while the Empire Ranch home was a 4 Bedroom.

During the course of showing these homes, we were amazed at the number of prospective tenants who wanted us  to negotiate a “reduction” in the rental rate we advertized.   Only those propects that were interested in these houses asked us.   All the others…..?    just thanked us for our time, but told us “they were still looking”.  

At first we resisted lowering the rent but as the weeks went on, I realized that the market had changed and become more competative.

And So…?  Yes…. we did in fact lower those rents and both homes now have well qualified tenants.

Don’t forget that during this time period, when our staff met each week to go over our  “available rentals”  that we had on the board,  we’d also discuss phone traffic, comments made at showings,  email inquiries and “pending applications”,  if any.

Our Conclusion…?

We decided to get ahead of the market and to offer specials, such as 1/2 off the 1st months rent,  some “move in date”  flexibilty and an across the board reduction on our asking rents.   This is also a slower time of the year with folks moving and we do have some “unemployment” that is causing rents to be a little flat today.

In addition we’ve kept track of the competition in our service areas so we know what is a reasonable rent for each product we have to offer.

To get an idea of what prevailing rents are, take a survey of the immediate area surrounding your property, contact a property management or two to get their input and do some “web research”    Check out this little information site that I think is useful:   http://www.rentometer.com/  

I don’t want to beat a dead horse here, but please remember that “curb appeal” and “condition” will now play an even bigger part of not only getting top dollar rents, but in the amount of inquiries you receive to get you that great tenant.  Tenants can be picky in a “Renters Market”.  

 

Make it a great day….!

Don’t Forget Curb Appeal When You Fix Up a Duplex Rental..!

Some Before and After Pictures To Make My Case

I probably am preaching to the choir for those of you that read this blog on a regular basis.   However if you are new to this site and are thinking about Investing in Real Estate such as a Duplex, Four-Plex or a Single Family Home, don’t forget to invest in some “curb appeal”.

I’m talking not just the exterior paint.   No I’m talking about landscaping your rental almost like you would a single family home in a nice neighborhood.

Check out this Duplex purchased earlier this year at 9610 Knickers Court in the Rosemont area: 

 Knickers before - 1

Here’s the “before” picture of this property taken shortly before the new Owner started the “Fix Up”.  This is a corner lot and had a lot of over grown shrubs & trees.

 

The Owner did install new roll up garage doors, painted the trim only and put a few $$ in landscaping.  The 3 Bedroom unit on the right does have a Patio Slider off the Master Bedroom.   For a look at what he did see this slide show.    By the way it rented in just a couple of days.

Remember when you add some nice landscaping like the owner did above, you give a prospective tenant some “extra living” space with not only a patio outside the dining area, but also outside the Master Bedroom as well.

 

Now below here is a Duplex that I am a partner in on Lake Natoma Drive in Orangevale.  We had a tenant on the left side that lived there for almost 5 years after we purchased it. When she moved out, do you think it took me long to find a new tenant…?

 Front Page Lake Natoma Drive

Some of the things we did 5 years ago to this duplex were, to paint the exterior & install new roll up garage doors.   We also fixed the sprinkler system & spent a little extra & planted a “big box” Maple Tree. 

 

 

Do you think landscaping makes a difference here?     By the way, this is some what of a busy street, but it rented up after being vacant for only about 3 weeks in late June of this year.

Hey Take a look at this one.   I think you will get my point….

 trovita 1 before

Here is a “before” picture of a former Bank Owned Duplex on a street of large duplexes in Citrus Heights, purchased by a partnership

 

 

 

Click here for a web page that will also show you that if you fix these Duplexes up nicely, you will not have a difficult time finding tenants who will want to pay top dollar to live there. 

So Did I Make My Case Well Enough…?

You are the judge, but all of these units are rented up even though we are in a little bit of an unemployment situation here in the Sacramento Area.

Ask yourself the question, if you were a prospective tenant, do you think you would pick these units over some that weren’t as nicely fixed up when you first pull up to see them….?

I’d appreciate the feed back.

In the Mean Time…?

MAKE IT A GREAT DAY….!