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Well It’s About Time This Duplex Had a Price Reduction..!

The Reason Why is Because It Does Need Some Work.

 

I was out there again yesterday afternoon  after showing this to a prospective buyer earlier in the morning.  The reason is because after getting back to my office I noticed that the listing agent had reduced the price to $181,100 from the original asking price of $197,900.

When I saw that change I thought, “well it’s about time the list price was reduced” because I knew when it first hit the market in the middle of June it was a little high for the condition it was in.

The smell when you first walk walk in the vacant unit is compelling to say the least… kind of takes your breath away.   But as you’ll see in the video I shot, it just needs some paint, carpet & lino and other minor fixes.   You’ll see in the video that one bedroom has a sliding door to a nice little back yard patio.  The grass is dead of course, but nothing a little watering won’t cure.   Click on the picture above to see the video walk through..!

Rents for this Duplex “fixed up” should be at least $1,000 for the 2 bedroom 2 bath side and at least $950 for the 2 bedroom 1 bath side.   Click Here for the “pro-forma” cash flow analysis.

By the way, there was a duplex just a couple of doors away at 8326 Summerplace that closed escrow a week or so ago for $182,000 that started out priced at $197,500.

 

Make it a Great Day..!
Ed Favinger, Broker CRS, GRI, SFR, CDPE    916-203-1260     favinger@rwnetwork.com

 

 

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Cash Flow Anyone…? I Haven’t Seen One Like This in a While..!

Somebody is going to jump on this one.

 

I think this is a “wow”…!   Because it’s a very unique and small apartment complex and located in a neat area with a mix of  Single Family Homes, Duplexes & one other small apartment complex on the street.   It’s Listed in a Price Range of $590,000 to $590,888.

The Neighborhood does show some pride of ownership with most of properties in better than average condition.

I’ve taken an exterior video of the property and immediate area.   Click on the Picture here to get a short exterior view of the property.

I’ve got the cash flow figures here and they look pretty darn good.  They do have one vacancy now.     By the way…  I did call the various agencies and verify most of these expenses… so what you are seeing will be close to “actuals”.

Click Here for the Pro-forma Cash flow Analysis

We manage two duplexes on this street and they are pretty easy to rent up.

Let me know what you think…!

In the mean time…?

Make it a Great Day…!

Ed Favinger, Broker CRS, GRI, SFR, CDPE      916-203-1260      favinger@rwnetwork.com

 

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You’re From the Bay Area and Thinking of Buying an Investment Here…?

And Schools are an Important Factor to you…?    See what I and other professionals here had to say to a question on Trulia.com…

The question from an investor in the Sunnyvale area of the South Bay area of San Francisco had to do with his curiosity about the Sacramento Region.   A big concern of his was the quality of the schools here.

The reason  Investors have that as a concern is that they know that in areas of great schools people will pay more for the price of a home and pay for more for the privilege of living there in rent.   The reason is you will get a better class of tenant if you will.

Investors know that people who are concerned with the quality of schools are also concerned about the quality of the education they will receive for their kids.  It  also means they will be great tenants for their investment.

Since prospective tenants will pay more to rent in an area if their kids will have access to great schools, the investors know their property will grow more in value as time goes on.

What makes “great schools”…?   My opinion is that great schools exist is because of “Parental Involvement”.   That’s what you see here in the areas we discussed in our answers to the question of this investor on Trulia.

 

 

Click on this link and see the advice we gave an Investor in the Bay Area.

 

 

 

 

In the mean time…?

Make it a Great Day…

Ed Favinger, Broker CRS, GRI, SFR, CDPE            favinger@rwnetwork.com      916-203-1260

 

 

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Open House Today – See What This Owner Has Done…!!

This  Home was a Bank Owned/REO.

Come on by today at 12:30 – 4:00 PM to 3900 Arderly Court, Sacramento, Ca 95826  and see what a “flip” looks like.   An Investor picked this up cheap and has taken the time and $$ to make this Bank Owned Fixer into a nice home

As you will see in the video link it really has it all.  New Kitchen with Granite Counter Tops, new carpet, paint, new wood laminate floors in all the high traffic areas along with new carpet in the bedrooms.   You’ll love the bathrooms and we put in some nice window coverings as well.

Come on out.. but if you can’t enjoy the video…by CLICKING HERE.

 

In the Mean Time..?

Make it a Great Day…!!

Ed Favinger, Broker, CRS, GRI, SFR, CDEP    916-203-1260    favinger@rwnetwork.com

 

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Looking for a Pride of Ownership Duplex that will “cash flow”…?

If you don’t want a “fixer” this might be what you are looking for.

This Duplex just recently fell out of escrow.   It’s a long story, but suffice it to say, it wasn’t the fault of the property.   In fact, the Buyer’s appraisal came in at the List Price of $214,500.

The former Buyer made some mistakes in obtaining her loan on time.   So when her time to close came and went with no loan approval, the Seller elected to withdraw from that contract and put it back on the market again.

So here’s your chance.

I’ve got a video below and if you want to see what the numbers look like, the “proforma cash flow” analysis is available if you  CLICK HERE.

 

 

If you have any questions regarding this or any other Residential Investment Property in the Sacramento Region, drop me a note or call me.

In the mean time…?

Make it a Great Day…!

Ed Favinger, Broker, CRS, GRI, SFR, CDPE       favinger@rwentwork.com    916-203-1260

 

 

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Can You Believe It’s That Time Of Year Again…Already…?

While it’s that time of year again… maybe besides “re-setting” the clocks forward all over the house you should also think about checking the Batteries in your Smoke Detector.

You just never know when something awful and unexpected can happen so do yourself and your family a favor… While you are changing and re-setting the clocks around the house,  at least “test” your smoke detectors… OK….?

In the mean time…?

Make it a great day…!

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What If I Invest in a Property in Oak Park Sacramento…? Don’t Look to The City of Sacramento for Any Help…!

The Area is so bad, if you have a “non-paying” tenant it’s probably better to keep them there occupying it, then to let it go vacant for a time.

Why would I say something as crazy as that?   The reason is because it’s true in this particular part of Sacramento.

A Bay Area investor asked us to manage a home on San Jose Way in the Oak Park area.   We took over last September.   The owner had previously put in a tenant that subsequently moved out leaving the property vacant.

It didn’t take long for the vandals and thieves to start picking away at this place.

While we were working on getting it re-painted and fixed up, some nice folks next door thought they’d just “plug in” to our exterior outlet and have a long chord from our property to their pad.   After finding this occurring a 3rd time,  I got fed up and called the Sacramento Police Dept.  They did come out although at first the 911 guy didn’t think this was a big deal.  Well when they showed up,  they wound up arresting several people including the owner from what one of the cops told me.

After getting them all out of that house, the property was posted and boarded up and has been since last October.   The house across the street was in foreclosure and that was boarded up along with a house on the opposite corner.

Here’s the nice video for you to see…

[kml_flashembed movie=”http://www.youtube.com/v/os0tD4C55_U” width=”425″ height=”350″ wmode=”transparent” /]

What does the City of Sacramento do to help…? NOTHING…!   They fee and fine the owner’s for maintaining a nuisance.   They charge a “monitoring” fee to make sure you are keeping it clean.   It doesn’t matter how much it costs the owner to get it fixed or how many times the property is broken into and things stolen like copper wiring or air conditioning units.

My point…?  

HOW ABOUT SOME STINKING POLICE MONITORING of the area instead of just “sticking it” to the folks that have invested in this area.

Anyway….

Make it a Great Day…!

Ed Favinger, Broker CRS, GRI, SFR    916-203-1260       favinger@rwnetwork.com


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Multiple Competing Offers are the “Norm” in the Sacramento Region…!

If you hear someone say the Real Estate Market here is dead..  Trust me, they are “mis-informed”..!

It seems just about every time I find a property a buyer I’m working with has an interest in, we’ve had to compete with other buyers to get 1st in line.    

A home we listed “for sale” at 2925 North Platte Way,  Sacramento just last Thursday,  has generated 5 offers…!   This home is located in the North Natomas area where there has been a flood of foreclosures and short sales the last several years.

No matter, there was an offer on the property the next day after it posted on the Multiple Listing Service.  Folks… this is nothing new and almost any Real Estate Agent or Broker in the area will verify what I’m saying here.

Even the rough ones, the “fixers”, are selling.  You  go back a couple of weeks ago to a blog post I made regarding a unique investment property over in the Fair Oaks area that had 23 offers…!

Bottom line…? If you are in the market now,  chances are you will experience this for yourself… that is,  having to compete against other buyers for the same opportunity.   You might even have to bid on several properties before you finally get the right one.   So don’t get discouraged.  It’s just the market we’re in now.

Make it a Great Day…!

Ed Favinger, Broker, CRS, GRI, SFR      916-203-1260        favinger@rwnetwork.com

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Hey look here… A 4 Unit & A 7 Unit Apartment Complex New on Market

If you are looking for something besides a Duplex or a Single Family Home, maybe one of these will work for you.

I’m not a real big fan of 4 plexes in this area because most of them don’t have the “amenities” that Single Family homes or Duplexes offer to compete for quality tenants and optimum rents.

There are exceptions of course so I thought I’d point these out to you, because they’ve both just come on the market.

I’ve got estimated cash flow projections for both of them.

I hope you found the above informative.   If you’d like to know more  about getting into the small apartment market drop an email note my way or call me.   My contact information is below.

In the Mean Time…?


Make it a Great Day…!

Ed Favinger, Broker CRS, GRI, SFR      916-203-1260        Favinger@rwnetwork.com

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“OMG…!” – They Have Twenty Three Offers on a Bank Owned Property…!!!

There are 3 separate homes on this .830 acre lot  zoned R-5 (5 units per acre).

I had seen this property on the market last May prior to the listing being withdrawn but I never walked it until yesterday.   When I drove by it last year it was a rainy day and I didn’t feel like going up this private drive with all the cars that I saw parked up there because at that time I think all the units were occupied.

So the bank takes it back, they put it on the market with an agent at $113,000.   Mind you, the lot is worth more than that based upon recent comparable sales of vacant lots that I’m going to post here for you to see.   None of those lots had the same Zoning as this one.  

By the way click here for a map of the property

Click here for an Aerial view of the property

This goes to show you that there must be a pent up demand for great deals like this and I’m wondering how much it will finally sell for and what the plans are of the new buyer.  I think this is a deal where you could keep the one occupied unit and work on building two newer units and possibly splitting them off.

I will stay on top of this one because I’m curious myself.

Anyway… Since they’ve already received 23 offers, there’s not much point now in putting one in, except I’d like to see where it winds up.   As i pointed out earlier, I did go the property yesterday and did a video “walk through” of the property.  I was able to get into all the units except for the one that is occupied.

[kml_flashembed movie=”http://www.youtube.com/v/ck885Hp03oE” width=”320″ height=”263″ wmode=”transparent” /]

I’d like to know what you think of this deal.

Make it a Great Day…

Ed Favinger, Broker CRS, GRI, SFR      916-203-1260       favinger@rwnetwork.com

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