Hot on the Market – Fair Oaks Duplex – Rare Pride of Ownership

 

I get excited when I see a Duplex like this on the market.

This is one of those rare duplexes that has a 3 bedroom 2 bath on one side and a 2 bedroom 2 bath on the other.  Both sides have 2 car garages.   This looks like a single family neighborhood and across the street are new single family homes.

When you have a duplex that is in decent condition, almost rent ready, it’s not going to be on the market long.

Click here for some pictures and a “proforma cash flow analysis”

Here’s a YouTube Video I took with my Palm Pilot… This is of the interior of the 3 bedroom unit.

Click here to view  

Hey if you want more information on this or any other residential investment property in the Sacramento Region, just drop me a note.

 

 

In the mean time…?

Make it a great day….

Tips for Maintaining your Property

Good Morning Folks…   

It’s another great day in paradise….!!!  Why do I say this… ?   It’s because any day I wake up “north of terra firma” is another great day to celebrate…   you never know when it’s your turn to “check out” as they say.

While the focus of this blog is to help folks invest in real estate… especially multi-family homes like Duplexes, Four-Plexes and Apartment complexes.. I do like to give you information that comes my way time to time from other sources…

I’ve posted some links below regarding the Maintenance of Decks, Patios and a link about Kitchen counter tops.  I hope you find them useful and informative because improving and maintaining a piece of real estate is something an investor or homeowner should never over look or defer.

 HERE THEY ARE:

Maintaining Your Deck  – great article – I’ve got a Court Yard deck in front of my own place that is 5 years old, but doesn’t show it when it’s maintained right.

Concrete Patio or Driveway Maintenance

Kitchen Counter Tops

If you have any questions or would like me to refer some professionals to assist you in any kind of a project drop a note my way or just call me… favinger@rwnetwork.com   916-203-1260

In the Mean Time…?

 

MAKE IT A GREAT DAY..!

Some Interesting Deals If Cash Flow is Your Goal

June 17, 2009

Rancho Cordova – The Sleeper Area for Investors :

 

While out and about I came across a couple of what I call “suspects” that could be potential money makers.  I drove by both of these properties on June 15th and I think one of them has just been reported sold before I could post it here.

 

Check them out and you’ll see why I like these.  Click on the addresses for a couple of pictures and an attached “pro-forma” cash flow analysis.

  

10413 White Rock Road, Rancho Cordova – Great numbers only on the market a couple of days – Shows Pending sale as of today.

 

10754 56 Capana Rancho Cordova– Located in an area of Pride of Ownership single family homes on a large corner lot.  Click here for a VIDEO of the area around it.

 

One of these is what I call a “bread and butter” type investment and the other one is what I call a “coupon clipper”.

 

Let me ask you…   Are these numbers pretty decent…?   They include taxes, insurance, management, some repairs along with the water sewer and garbage.

 

I think the Sacramento area is the “place to invest”…  Am I wrong…?

 

Make it a great day…!

 

Bank Owned Duplex out of the “Shadows”…..

This One Has Been “Sandbagged” until now

Here’s a Duplex that has been in the Bank’s hands for a while now that has finally come on the market.  Our team has represented a Bay Area partnership in the purchase of two duplexes in this great neighborhood within the last couple of months.

In addition,  after they purchased their duplexes our property management company was hired to “lease up” and manage them, so we know the area here well.

In addition another Bay Area Investor purchased a duplex close by and hired our Property Management team to handle the “lease up” only of her vacant units.

I have provided for you a “proforma” cash flow analysis of this Duplex located at 7937 Tangors Way, Citrus Heights, Ca.

See Below here for videos.

Click here for a Video of the “Street Scene”

Click here for a Video of the 3 Bedroom 2 Bath side

Click here for a Video of the 2 Bedroom 2 Bath side

I don’t think this one will last long.

Make it a great day

Bank Owned Duplexes – Come & Get ’em….

Some of the best I’ve seen in a while !!

Hey you investors…    I’ve found some decent Bank Owned Duplexes that are all unique and very much worth the time to pick up – one maybe even a “flipper”

I’ve got two Bank Owned Duplexes have just come on the market and one that has been for sale for quite some time.

I have previewed all of them and have put together some information including pictures.   Click the links below and you’ll pull up a PDF file with my projected income and expenses.

10414 South White Rock Rd, Rancho Cordova, Ca 95670 – 3 Bedrooms 2 Bath on each side – Court Yard entries and each unit has recent updates in the kitchens and bathrooms.   Mirrored Closet Doors in the Master Bedrooms and Sliding Glass doors to the rear yards.  Listed at $124,839 – I know this is going to sell for much more.  These units are just about “rent ready”…  The Bank knows this and this will have “multiple offers” for sure….

Other than maybe some painting and general cleanup, the only major problem I see is part of the roof system.  The area over the bedrooms is a “flat top” type that is leaking in one of the back bedrooms.  I estimate it can be fixed for about $7,000.   I’m a part owner of a duplex with a configuration like this and that is what it cost us about 2 years ago for the same problem.

I like Rancho Cordova…It’s a sleeper area with a commitment to community preservation.  Lots of new construction going on around this area.  Elementary school is just down the street.

Here’s my attempt to do a “video”.. Click the links below to see video of each side.

10414 South White Rock Road, Rancho Cordova – “left side”

10414 South White Rock Road, Rancho Cordova – “right side”

6335 Sorrell Court, Citrus Heights, Ca 95621 – This is a nicely located Duplex on a Cul-de-Sac street that is right off of Zenith and Antelope Roads.  Neighborhood shopping is very close by along with access to Hwy 80.  Great commute location for either Roseville/Rocklin or Sacramento.  I’ve run the comparables and they go for about $175,000 in this area.

The back yards are huge with little or no landscaping…  I think this is one area many investors put a low priority on.  Some landscaping here would be a great inhancement for this property.  Inside…?  They aren’t bad.. paint.. carpet.. cleanup.. = Rent Ready…   Roof is good shape…

Here’s an old favorite below here that has been on the market for a long time… it’s been in and out of escrow I think a couple of times.  It has my special “designation”…. a “Beater”… in other words… a Fixer upper…  Check it out…!!

5006 Sunshine Lane, Sacramento, Ca 95841 – I’ve seen this one inside and it’s in need of some TLC as they say.  It’s Listed at $134,900 but I have the cash flow analysis at $115,000.  That’s what it should and probably would go for if some one came in with an all cash offer.   I estimate it would take about $20,000 to really fix this up nicely.  It’s in a great location.. kind of unique.. and it’s just around the corner from American River College.

I’ve got more coming.. come back later…

In the mean time…?

MAKE IT A GREAT DAY

Update on Rental Market – Nice Units Rent Fast – Even in Slow Market…

 This article was original posted on Tuesday, March 31, 2009 at our old website

Update on my March 20, 2009 post – It’s Back to Basics.

I’ve been in the Property Management business for going on 20 years now.  I actually got into it by accident because clients that lived out of the area especially wanted someone here local to watch out after their investment.

Over the years, the practice of property management has given me many insights into “what to do… and what not to do”…

So while I was a little nervous about the rental market as reported in my last two posts, I was reminded again that when you have a property with great curb appeal, that is updated and bright & clean inside…?   You just don’t have to worry too much if you have priced it fairly, which we did.

Click Here for a look at the WebFlyer we used to attract new tenants.

Our clients had purchased 2 duplexes on this street, each one with a 3 bedroom, 2 bath and a 2 bedroom, 2 bath side.  We now have “approved applications” with “holding deposits” for move in with rents are $1,200, $1,250 for the 3 bedroom sides and  $1,100 for one of the 2 bedroom units.  

In addition we have two applications pending for the last remaining 2 bedroom.

The bottom line in my opinion is that if you the investor provide a great curb appeal and a nice unit inside, you’ll have many happy prospective tenants wanting to live there and pay you top $$$.

 

In the mean time…?

 

MAKE IT A GREAT DAY….

A Nice Rental Unit Does Get Attention Even In a “Down Market”….

Friday, March 20, 2009

UPDATE ON MY LAST POST – Rents – Flat/Falling…?

As you may have read from my post a couple of days ago I had some concerns regarding the current Rental Market in the region.

To bring you up to speed, we have approved a tenant for the 2 Bedroom/2Bath side on Trovita Way and have an application that looks good on the 3 Bedroom side, a young couple with 3 kids.   The rents that we will get are $1,095 for the 2 Bed/2Ba side and $1,250 on the 3 Bed side.

We’ll update you as soon as we have received the Holding Deposits for these tenants, which is what we consider to be a firm commitment to rent.

In the mean time….?

MAKE IT A GREAT DAY….

I Think Rents Might Be Going Down a bit… But so are interest rates…

Some Anecdotal Stories – is this a trend.?  I don’t know for sure.

We’ve been experiencing a little downward pressure on rents in some areas.. I think.

Remember when someone tells you the words, “I think”… it really means they don’t know for sure. Let me explain further here… and I’ll let you be the judge…

EXAMPLE #1 – RENTS FLAT/FALLING…?

Last November we closed escrow with a young couple that purchased their first investment property which was a Duplex located at 2721 El Caprice, Rancho Cordova, Ca.

They elected to do much of the work themselves and had one side ready for us to show about the end of November.  Even with the holidays we had a tenant in place on the completed side for $1,100 per month that moved in on December 5th.

The other side was not completed until about the middle of December or later.  When we hadn’t rented it up by the end of January I didn’t get too worried because historically it is a little slower during those months of December and January.

It wasn’t until the middle of February that I began to notice other units we manage were taking a little longer to rent so we decided to lower the rent to $1,000 per month to see if we couldn’t get a little more action, which has been what was needed.

While we still haven’t placed a tenant in this unit yet, we’ve had 3 applications given to us but the 1st two didn’t qualify because of credit or income issues that we discovered during the “screening process”.

EXAMPLE TWO – RENTS FLAT/FALLING…?

Last August we leased up for a client a 3 Bedroom Duplex unit at 6834 Woodmore Oaks in Orangevale that is next to a 7/11 Store for $1,250 per month.

Fast forward to this year we are now marketing for rent a 3 bedroom 2 bath unit at 6826 Trovita Way, Citrus Heights that is only about a mile away from the Woodmore Oaks property above.

The Trovita Way Duplex has the exact same floor plan as the Woodmore Oaks property with Trovita having just about a total remodel/update that included:

  • New carpet,
  • New two color paint scheme in & out along with new 6 panel colonial doors
  • New appliances,
  • New tile shower enclosures and new tile floors in all the high traffic areas,
  • New sod in the front with new shrubs to accent some of the mature plants already there and a big clean up and upgrade of the backyard landscaping as well along with other items to long to list here.

While we did try and market this property while the “fix-up” was in progress, it wasn’t until we lowered the “asking rent” from $1,250 down to $1,200 per month that the phone started to ring a lot more often.

In the last few days now, we’ve shown this unit to 4 or 5 prospects.  We’ve already received an application on the 2 bedroom unit next door.  As of today, March 18th we’ve had a lady that saw the unit last night call and say she was going to send in her application and pay her application fees so we’ll see.  In the meantime, we’ve scheduled another showing at 5:30 this evening.

EXAMPLE THREE – RENTS FLAT/FALLING…?

We had a nice 2 bedroom 2.5 Bath TownHome on Briar Ridge in a great area of Citrus Heights that stood vacant for about 2 and 1/2 months.   Now keep in mind,  we got this back vacant in the middle of November of last year.  I hate it when a tenant moves out during the “holiday” period because it does slow down then as I said above.  The rent for this Town Home was $1,250 for over 4 years, but when it didn’t rent up right away, the owner did give us the authority to lower the rent to see if that helped.

So to make a long story short when I was showing a single story town home in Folsom, to a prospective tenant, he wasn’t satisfied with the size of this place and asked if I had something else in a good area.  Well,  he’s the one that ultimately rented the Briar Ridge Town Home at $1,150 and he wasn’t afraid to negotiate a deal.  We gave him 1/2 off the 1st month’s rent as well.

Conclusion…?

I’ll have a better feeling in the next couple of weeks when we have some more inventory come up to be shown, but it looks like it’s become more of a “tenant’s market”.

Come back for ideas of how to keep your rentals filled in a down market later.

As For Interest Rates…?

Our company shares some space with Sunrise Vista Mortgage Corporation and a Credit Repair company.   One of their loan officers came into my office today and let me know that the Fed is driving down rates to the point that he feels we’ll be in the 4% range soon…

NOW…..In the mean time…?

MAKE IT A GREAT DAY…