Great Deal Alert $2,778,000 - Investment Property
Every one of these properties has really good numbers and would be a good, if not great, acquisition for you, and/or addition(s) to your portfolio. They give you a very good return and they are headache-free and stress-free.
All of these properties are under one property manager, a very good guy who I use a lot. He charges 5% of the gross income. All of these are and have been very “low maintenance” and easy to keep full. The seller, also a client of mine, is only selling them because he wants to do a 1031 exchange to acquire one very large (50-unit) property to simplify matters for him business-wise. They have all performed very well for him and they would all probably easily absorb 3% annual rental increases. Actually, one of them isn’t even under rent control. So, here they each are:
Silver Lake Triplex in excellent condition. Asking price = $1.2 million, current rents are $7740. Very suitable for Airbnb, which would fetch, conservatively, $12,000/mo. One of them is on Airbnb right now, and it is getting – after Airbnb management fees – $4200/mo. If you managed it yourself, which is not that hard to do, then add 20% to that figure.
5-plex in South L.A. In good condition. Like all of these properties, it is fully occupied and there has been little to no problem managing them or keeping them full. Asking price = $570,000. Current rents are $5406/mo. They are all getting right around market rent.
4-plex in Huntington Park which, per my auction guy, is on fire right now as a neighborhood. Also in good condition. Asking price is $469,000. Rental income is $3850/mo, slightly under market.
5-unit in Pomona. Good condition. Asking price is $539,000. Rents are $4350/mo.
These are going to give you an average of about 14% cash-on-cash return. You can buy one of them, several of them, or all of them.
Well, there you go. Let me know if you need/want more info.