Would you put this on the market the way it looks now…? Would a Tenant Pay More to Live There…?
I just had to pass this on to those folks that are thinking of buying a Residential Investment, such as a Duplex, a Four-Plex or an apartment complex or even a Single Family Home.
People will make an instant judgement about a Duplex for Sale just about as soon as they pull up to the curb.
This Duplex I’m profiling here today is located at 2719 & 2721 Bravado Drive, Rancho Cordova. Despite it’s poor curb appeal, it’s on a corner lot that backs up to one of our other Investors who have been outstanding in helping create a nicer neighborhood.
In this slide show, we’ll show you the “subject property” and then you’ll see the other units our Property Management company currently maintains.
This Duplex closed escrow back in December of 2013 at a sales price of $161,000. The new owner hadn’t done much if anything since he’s had it but, now wants absolute top dollar. His rents currently are at $900 and $850 per month and they should be at $1,000.
Generally in my opinion, I think investors who skimp on curb appeal and landscaping are leaving dollars on the table in returns they would otherwise have received. Not only in a higher sales price, but higher rents during their ownership as well.
Tenants will pay more for a nice pad. Let’s see if he gets his price because I think it’s worth no more than about $245,000.
CLICK HERE for a proforma cash flow analysis. It’s really ugly in front but just needs some TLC….. So, overall, I think this could be a nice investment given that the surrounding properties have a lot more “pride of ownership” then this owner and it won’t really take that much to bring it up to par with the neighbors.
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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