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.
Make it a great day
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.
Here’s a YouTube Video I took with my Palm Pilot… This is of the interior of the 3 bedroom unit.
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….
Not when you have multiple offers….
However, when you read through the story the various sources talk about the inventory that is not out there right now. We in the business call this the “Shadow Inventory”.. The Shadow Inventory are the real estate holdings that the banks have already foreclosed upon, hold title to, but have not “released” for sale yet.
I know of several Duplexes that have been returned to the banks and are now what we call REO’s. They have been in this status for over a month now. Why are they waiting to put them back out there for sale…? I don’t know.
In addition to the SacBee article.. I plucked out this article which didn’t have the Sacramento Region listed in this report. RealtyTrac: April foreclosures rise 32 percent
Bottom line is that in addition to the upcoming heat wave this weekend, when you have 10-12 offers on a piece of real estate, that represents anechdotal evidence that the Seller is going to have a little more of an advantage.
This will be the status quo until the anticipated flood of new Bank Owned/REO properties finally hit the market here.
MAKE IT A GREAT DAY….
Why don’t more young buyers look at buying a “duplex” as their first home…?
Heck I don’t know why either, but I’ve got the “pro’s & con’s” here.
But first, go to 6819-6821 Trovita Way, Citrus Heights, Ca to get the “investor” flyer.
As you can see from the numbers it’s got a decent return if this was going to be just another “cash flow” investment.
Some Pro’s here:
- Lower down payments for an “Owner Occupied” Duplex are the same as a Single Family Dwelling. They even qualify for FHA Loans…
- Your out of pocket expenses for the example above would be approximately $1,000 for a 3 Bedroom, 2 Bath unit that has New Paint, New Carpet, Doors and Appliances…!
- Equity built up – The other tenant is paying you each month. Even though you’d have $1,000 out of pocket, you’d still have $300 going towards “principle” reducing the amount of debt you owe.
- You can later rent the unit you live in, go buy another home keeping this Duplex as a part of your long term financial plan.
Ok… Ok… Here are the Con’s:
- Most Duplexes are clustered in the same neighborhood with other duplexes and don’t have that “Single Family Home” feel
- You may not like living so close to a neighbor.
But My Opinion..? is… “hey, you don’t have to live there forever” – you’ll be glad you did in the “long run”.
So… An ideal Duplex then would be one that is in the midst of primarily Single Family Homes – By the way, there is one like that on my website at www.theduplexguy.net/ed_hot_picks – It’s the one in Carmichael on California Avenue
- Yards are not as large as a Single Family Home.
But My Opinion..? is… “hey, you’d be surprised at how neat a Duplex would look with some great landscaping”.
You could include adding patios or how about a French Door overlooking the back yard from the Master Bedroom? Now Yea…, that would cost some $$$, but since you are going to live there, why not “doll it up”…?
Besides when you do move…? trust me, you’ll get top dollar rent with a qualified tenant fast. So please, don’t be afraid to fix up a Duplex “in and out” like you would a Single Family Home.
Curb Appeal would be the one big thing you can do to really enhance this type of invesment, so keep that in mind.
Buying a Duplex to “live in one side and rent the other” really is a great way to start out if you are young. I haven’t even gone on here about the additional tax breaks that may also be available to you.
It just boils down to whether or not you want to live in a Duplex or prefer a single family home.
Just another idea here. Give it a thought….
Drop me a note at favinger@rwnetwork if you’ve got some questions… I’d be happy to help.
MAKE IT A GREAT DAY…!
NextHome Premier Properties
620 East Bidwell Street
Folsom, CA 95630
CalBRE # 00812744