Good Lawd…..look at this Quad! [Code: 3104]
Why THIS deal??
- ~$1,197/mo. cash flow once you can refi to 5.0%
- Cash flows at ~$709/mo. at today’s rates of 6.25%
- Newly listed property. It won’t last!
- Fully remodeled and absolutely beautiful on the inside
| After 15 Years (no mortgage) | |||
| Original purchase price | $825,000 | ||
| Total investment (out of pocket) | $229,100 | ||
| 15 yrs Project house value | $1,485,778 | ||
| Value (appreciation) Gain | $660,778 | ||
| 15 yrs cash-flow generated | $188,466 | ||
| Total Gain | $849,245 | ||
| ROI (15 yrs) | 370.69% | ||
| ROI (annually) | 24.71% | ||
| Free & Clear cash flow (yr.) | $66,703 | ||
| Free & Clear cash flow (m) | $5,559 | ||
- Fourplex with two 3 bedroom, 1 bath units and two 4 bedroom, 1 bath units
- Days on the market: 2 as of 2/3/2023
- Very desirable location for young professionals
- Front door faces a large park
- No fire or flood zone
- 2 tenants will be moving soon and will give the new owner the opportunity to raise rents to market level
- Awaiting updated details on HVAC unit ages and roof replacement from seller’s agent
- Estimates for owner paid utilities is around $350/mo for water/trash/sewer (pending verification)
- Fully remodeled in 2022 which means little to no maintenance for a new buyer. We still estimated $400/mo. in the spreadsheet for conservative long-term cash flow estimates.
- New Plumbing and Electrical in 2022
- In-unit washer/dryers
- No HOA charges
- 4 space off-street parking pad
Why should you consider this house / what makes it a good investment?
- Built: 1922 (gut rehabbed in 2022)
- Size: 4,417 square foot building
- Desirable Community, Good Schools, Highly Appreciating Neighborhood
What’s next?
meet@simplydoit.net, property code: 3104
| Property Specifications | 4 | Per Door |
| Bedrooms – 4 FAMILY | 14 | 3/4 bed units |
| Bathrooms – 4 FAMILY | 4 | 1.0 |
| Square Feet | 4,417 | 1104 |
| Year Built | 1922 | |
| Garage Size | 0 | 4-spaces |
| Schools Rating (on scale of A-C) | C |
| Purchase Assumptions | My Offer | Per Door |
| Offer used for analysis | $825,000 | $206,250 |
| Suggested offer (low) | $825,000 | $206,250 |
| Suggested offer (high) | $825,000 | $206,250 |
| Asking | $825,000 | $206,250 |
| Market Value (after improvements) | $825,000 | |
| Improvements (lower) | $4,000 | $1,000 |
| Improvements (upper) | $8,000 | $2,000 |
| Closing Costs | $8,250 | |
| Mortgage Costs | $8,250 | |
| Other Fees At Closing | $350 | |
| Total Cost | $847,850 | $2,063 |
| Financing Assumptions | |||
| Down Payment (%) | 25% | ||
| Down Payment Amount | $206,250 | ||
| Financed Amount | $618,750 | ||
| Interest Rate (5/6 ARM) | 6.250% | ||
| Mortgage Term (Years) | 30 | ||
| Monthly Mortgage Payment | $3,810 | ||
| Cash Outlay (Total Out of Pocket) | $229,100 | ||
| Financial Assumptions | Monthly | Yearly | |
| Rent (upper) | $6,760 | $7,000 | $84,000 |
| Rent (lower) | $6,519 | $78,228 | |
| Property Tax Rate (Approx.) | 2.5% | ||
| Property Taxes | $400 | $4,800 | |
| Insurance | $300 | $2,000 | |
| Repairs | $400 | $4,800 | |
| Variable-Cost PM | 7.5% | ||
| Property Management Fee | $507 | $6,084 | |
| Leasing Fee | 75% | $211.2 | $2,535 |
| Utilities | $350 | $4,200 | |
| Vacancy Rate | 4.0% | ||
| Total Fixed Expenses | $2,418 | $29,020 | |
| Total Expenses (Fixed + Mortgage) | $6,228 | $74,737 | |
| Financial Analysis / Deal Attractiveness | |||||
| Years: | 5 | 10 | 15 | 20 | |
| Cap Rate | 3.7% | 4.9% | 6.3% | 7.7% | |
| Net Cash Flow | $42,516 | $113,249 | $215,135 | $351,417 | |
| Equity Increase | $219,964 | $493,731 | $835,203 | $1,262,119 | |
| Total Gain | $262,481 | $606,980 | $1,050,338 | $1,613,536 | |
| Average Cash Flow/Year | $8,503 | $11,325 | $14,342 | $17,571 | |
| Average Cash Flow/Month | $709 | $944 | $1,195 | $1,464 | |
| Average Gain/Year | $52,496 | $60,698 | $70,023 | $80,677 | |
| Average ROI | 114.6% | 264.9% | 458.5% | 704.3% | |
| Annual ROI | 22.9% | 26.5% | 30.6% | 35.2% | |
| Projected Property Value | $1,003,739 | $1,221,202 | $1,485,778 | $1,807,677 | |
| Property Ratings Suggestions | |||||
| Item | Suggested Criteria (Min.) | This Property | FAVORABLE / INSUFFICIENT | ||
| Schools | B | C | INSUFFICIENT | ||
| Square Feet | 1000 | 4,417 | FAVORABLE | ||
| Bedrooms | 3 | 14 | FAVORABLE | ||
| Bathrooms | 2 | 4 | FAVORABLE | ||
| Year Built | 1970 | 1922 | INSUFFICIENT | ||
| Rent/Price (%) | 0.75% | 0.85% | FAVORABLE | ||
| Average Cash Flow (at year 5) | $125 | $709 | FAVORABLE | ||
| Average ROI (at year 5) | 15% | 22.9% | FAVORABLE | ||
FAQs
Q: Can I purchase using financing?
A: Yes
Q: Do you have a lender?
A: Yes, and you can use your picked lender as well
Q: Is there an inspection report?
A: Not at the moment, but as part of the buying process an inspection will be order (at buyer’s expense)
Q: I’m not local, who will assist me with buying?
A: Being a part of Simply Do It we have
– Vetted local agent we use to represent our client-buyer when buying local properties. We have being working with this agent for a long time and done many transactions together.
– Vetted local property management company that will handle getting the property ready for rental (if needed), leasing and screen tenants, ongoing management. PM is managing many Simply Do It’s clients properties.
Q: Do you provide any guarantees?
A: No!
Q: Who will own the property?
A: You, your LLC or entity or however you decide to take title to it.
Q: Can I travel to see it?
A: Of course.
A: I want to even more details and specific, how do I obtain more info?
Q: We will try to provide answers as much as we can, but to get full details you need to enroll in the Simply Do It program.
Q: I have more questions about Simply Do It, the local market in general, misc. question about investing, or to see if this is even a good fit for me as an investor, what do I do?
A: We invite you to speak with us for 30-40 mins call in which we can discuss your needs, address your questions and concerns, and together explore if this is a good fit for all of us. Simply complete the pre-meeting intake on SimplyDoIt.net/intake.
Q: Can I be added to your mailing list, so I can see other opportunities?
A: Of course: subscribe here: eepurl.com/fuIw2
Q: Where can I find more about Simply Do It and real estate investing?
A: YouTube channel, podcast in Hebrew, podcast in English
Disclaimer
Information contained herein was obtained from sources deemed reliable, however, Simply Do It and/or the owner(s) of the property make no guarantees, warranties or representation as to the completeness or accuracy thereof. The presentation of the property is offered subject to errors, omissions, changes in price and/or terms, prior sale or lease or removal from the market for any reason without notice.
The analysis is provided “As Is”. All the information is believed to be accurate (except for the small effects of some simplifying assumptions), but is not guaranteed, and depends on the values entered for the property. This analysis is intended for the purpose of illustrative projections. The information provided is not intended to replace or substitute for any legal, accounting, investment, real estate, tax, or other professional advice, consultation, or service. Simply Do It and/or the owner(s) are not responsible nor liable for any damages arising from the use of the analysis info.
if a buyer wants to do an STR/Airbnb, is it allowed by the city? does it require a permit/city approval?
No extra permits. Automatically allowed by city.
3+beds are ideal for STR.
Here’s the property manager I use to manage my STR
Our local agent in St Louis personally has Airbnb locally and have resource to manage it if you need.