Turnkey Investment: Fully Leased Duplex with High Cash Flow & Renovations [Code: 1027]
Cashflow
- Cash flows at ~$875/mo. at today’s rates of 6.0% – an estimated current rate
- ~$970/mo. cash flow once you can refi to 5.5%
Main Reasons to Consider This One
- Duplex with 8 bedrooms and 4 full bathrooms (Each unit has 4 bedrooms and 2 bedrooms)
- List of completed renovations is below
- Location has quick access to major commuting routes, shopping and schools
- Highly appreciating area with strong rental market
- Off-Market opportunity with current SDI client
- Nothing is wrong with the property, but client is looking to reinvest elsewhere
- Seller is looking to sell internally without an agent, however, if the buyer wants to use one that is available.
- Great Schools!
- Fully leased on both sides! One side has a new 2 year lease for $1850/mo (until 8/2026) and the other side is Section 8 for $1875/mo.
- No issues with tenants
- Section 8 side can be raised to $2175/mo. in 2025!
- Potentially close to double your money in 5 years!!
- No HOA charges
- Managed by one of SDI’s property managers
- #cashflow #appreciation #turnkey #multiplex
Why should you consider this house / what makes it a good investment?
- Built: 1988 (Reno 2022/2024)
- Size:3,016(est) square foot home (total)
- Low Crime, Desirable Community, A/B Rated Schools
What’s next?
Email/text for address, analysis and to get connected to Simply Do It’s local team that handles this transaction.
Metro: St. Louis
Team: SDI – email directly at jessica@simplydoit.net
Code: 1027
| Financial Analysis / Deal Attractiveness | ||||
| Years: | 5 | 10 | ||
| Cap Rate | 7.4% | 9.3% | ||
| Net Cash Flow | $52,746 | $133,620 | ||
| Equity Increase | $115,748 | $259,272 | ||
| Total Gain | $168,493 | $392,892 | ||
| Average Cash Flow/Year | $10,549 | $13,362 | ||
| Average Cash Flow/Month | $879 | $1,114 | ||
| Average Gain/Year | $33,699 | $39,289 | ||
| Average ROI | 117.6% | 274.2% | ||
| Annual ROI | 23.5% | 27.4% | ||
| Projected Property Value | $535,327 | $651,307 | ||
| Property Specifications | 2 | Per Door |
| Bedrooms | 8 | 4 |
| Bathrooms | 4 | 2.0 |
| Square Feet | 3016 (est) | 1508 (est) |
| Year Built | 1988 (R 2022/2024) | |
| Garage Size | 0 | 0 |
| Schools Rating (scale 3-30, 30 is best) | 20 | |
| Lot size (sq ft) | 7,187 |
| Purchase Assumptions | My Offer | Per Door |
| Offer used for analysis | $420,000 | $210,000 |
| Suggested offer (low) | $420,000 | $210,000 |
| Suggested offer (high) | $420,000 | $210,000 |
| Asking | $420,000 | $210,000 |
| Market Value (after improvements) | $440,000 | |
| Estimated Improvements (lower) | $1,000 | $500 |
| Estimated Improvements (upper) | $2,500 | $1,250 |
| Estimated Closing Costs | $4,200 | |
| Estimated Mortgage Costs | $3,381 | $1,691 |
| Other Fees At Closing (pts, . . . ) | $7,940 | 7% |
| Financing Assumptions | |||
| Down Payment (%) | 30% | ||
| Down Payment Amount | $126,000 | ||
| Financed Amount | $294,000 | ||
| Interest Rate | 6.000% | ||
| Mortgage Term (Years) | 30 | ||
| Monthly Mortgage Payment | 47.3% | $1,763 | |
| Cash Outlay (Total Out of Pocket) | $143,271 | ||
| Estimated Financial Assumptions | Monthly | Yearly | |
| Rent (upper)* | $3,725 | $3,725 | $44,700 |
| Rent (lower)* | $3,725 | $44,700 | |
| Property Taxes | $300 | $3,600 | |
| Insurance | $200 | $2,400 | |
| Repairs | 75 | $120 | $1,440 |
| Property Management Monthly (%) | 7.5% | ||
| Property Management Monthly ($) | $279 | $3,353 | |
| Leasing Fee | 75% | $116.4 | $1,397 |
| HOA or Fixed Costs (Water/Sewage) | $100 | $1,200 | |
| Vacancy Rate | 4.0% | ||
| Total Fixed Expenses | 33.7% | $1,254 | $15,043 |
| Total Expenses (Fixed + Mortgage) | $3,016 | $36,195 | |
| Property Ratings Suggestions | |||||
| Item | Suggested Criteria (Min.) | This Property | FAVORABLE / INSUFFICIENT | ||
| Schools (scale of 3-30, 30 is the best) | 14 | 20 | FAVORABLE | ||
| Square Feet | 1,000 | 3016 (est) | FAVORABLE | ||
| Bedrooms | 3 | 8 | FAVORABLE | ||
| Bathrooms | 2 | 4 | FAVORABLE | ||
| Year Built | 1970 | 1988 (R 2022/2024) | FAVORABLE | ||
| Average Cash Flow (at year 5) | $125 | $850 | FAVORABLE | ||
| Average ROI (at year 5) | 15% | 19.5% | FAVORABLE | ||
Disclosure Unit #1 :
Mold inspection findings:
On June 17th 2022 as part of a mold inspection that I ordered (from Wellington Environmental) the following findings were shared:
“The inspection of unit 1029 confirmed visible water staining and visible fungal growth under the kitchen
sink base cabinet. It is suspected that the drywall behind the sink base cabinet is also affected. The
lower level of unit #2 has visible water staining and visible fungal growth on the drywall in the HVAC
room and under the stairs. Discoloration was noted on the baseboard in the basement and it is very
likely that fungal growth is present behind the baseboard in the bathroom and the living area of the
basement. No active water leak was observed in the basement.”
Mold Remediation:
1. All the lower level walls were ripped to identify the root cause.
2. The root cause was identified and fixed by a foundation company (The Crack Crew LLC on the week of August 15th). The scope of the work was as follows (per their report):
“On the rear wall under both windows we will grind, prepare, and inject two approximately 4′ vertical cracks for waterproofing nonstructural repair.”
A warranty on these repairs were provided by the company.
3. The foundation company also identified grading issues in various places around the house. All the grading issues were addressed to ensure proper grading.
4. A Mold company (“Moldman St. Louis“) treated the mold (lower level and kitchen) before all the (new) walls were installed.
5. A complete remodel was done after all issues were addressed.
Over 2 years now and to the best of my knowledge tenants and PM didn’t report on water or mold issues since the findings were identified and addressed.
Disclosure Unit #2:
In May 2024, a small leak from the new roof was identified and fixed by a certified roofer . The unit was fully remodeled after and any stained ceiling plywoods were replaced.
Complete remodeling (unit #1 in 2022 and unit #2 in 2024). Partial list:
- New Roof
- LVP flooring throughout the upper and lower levels.
- New Kitchens (cabinets, countertops, new dishwasher plumbing, sinks, appliances etc)
- New baths (tubs, vanities, toilets, vents were replaced (but not all))
- New paint (whole house)
- New blinds
- New fans, lights and outlets
- New doors throughout the house
HVAC system was NOT replaced (not sure about its age)
Section 8 FMR:
2025 FMR (4BR FMR $2170 as of October 2025. I assume this is a projected value and might be adjusted later):
2024 FMR (4BR FMR $1818. Section is paying me $1874):
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.