Off-Market home in PRIME location! [Code: 4336]
- ~$647/mo. cash flow once you can refi to 4.5%
- Cash flows at ~$428 at today's rates of 6.0%
- Non-conforming Duplex that have separate entrances and can be rented separately
- Off-Market Opportunity directly from builder who completed the renovations
| After 15 Years (no mortgage) | |||
| Original purchase price | $314,000 | ||
| Total investment (out of pocket) | $87,780 | ||
| 15 yrs Project house value | $565,496 | ||
| Value (appreciation) Gain | $251,496 | ||
| 15 yrs cash-flow generated | $112,780 | ||
| Total Gain | $364,276 | ||
| ROI (15 yrs) | 415% | ||
| ROI (annually) | 28% | ||
| Free & Clear cash flow (yr.) | $27,997 | ||
| Free & Clear cash flow (m) | $2,333 | ||
- 2 bedroom, 2 bath Single Family Home (studio upstairs with separate entrance)
- Non-conforming duplex with separate entrances
- 2 bed/1 bath downstairs unit rents for $2,000/mo and upstairs studio rents for $700/mo. Both are currently vacant
- Kansas City does not have annual inspections for this type of property
- Off Market for today, but will be listed tomorrow!
- Ideal tenant would be young professionals who want to be close to downtown
- Potentially could be sold as fully furnished if the investor was interested
- Was previously used as a short-term rental by builder
- Builder is liquidating in order to fund another project
- Price is firm
- Highly appreciating neighborhood with great proximity to downtown
- No HOA charges
- 3,286 square foot lot
Why should you consider this house / what makes it a good investment?
- Built: 1912 (completely renovated in 2020)
- Size: 1,400 square foot home
- Low Crime, Desirable Community located near Downtown KC Plaza and Country Club Plaza
What's next?
Email/text for address, analysis and to get connected to Simply Do It's local team that handles this transaction.
Metro: Kansas City
Team: Meredith – email directly at kc1@simplydoit.net
Code: 4336
| Property Specifications | 1 |
| Bedrooms | 2 |
| Bathrooms | 2 |
| Square Feet | 1400 |
| Year Built | 1912 |
| Garage Size | 0 |
| Schools Rating (on scale of A-C) | C |
| Purchase Assumptions | My Offer |
| Offer used for analysis | $314,000 |
| Suggested offer (low) | $314,000 |
| Suggested offer (high) | $314,000 |
| Asking | $314,000 |
| Market Value (after improvements) | $314,000 |
| Improvements (lower) | $2,000 |
| Improvements (upper) | $4,000 |
| Closing Costs | $3,140 |
| Mortgage Costs | $3,140 |
| Other Fees At Closing | $0 |
| Total Cost | $323,280 |
| Financing Assumptions | |||
| Down Payment (%) | 25% | ||
| Down Payment Amount | $78,500 | ||
| Financed Amount | $235,500 | ||
| Interest Rate (5/6 ARM) | 6.000% | ||
| Mortgage Term (Years) | 30 | ||
| Monthly Mortgage Payment | $1,412 | ||
| Cash Outlay (Total Out of Pocket) | $87,780 | ||
| Financial Assumptions | Monthly | Yearly | |
| Rent (upper) | $2,600 | $2,700 | $32,400 |
| Rent (lower) | $2,500 | $30,000 | |
| Property Tax Rate (Approx.) | 1.4% | ||
| Property Taxes | $200 | $2,400 | |
| Insurance | $130 | $1,560 | |
| Repairs | $150 | $1,800 | |
| Variable-Cost PM | 7.0% | ||
| Property Management Fee | $182 | $2,184 | |
| Leasing Fee | 68% | $73.1 | $878 |
| HOA | $0 | $0 | |
| Vacancy Rate | 4.0% | ||
| Total Fixed Expenses | $832 | $9,982 | |
| Total Expenses (Fixed + Mortgage) | $2,244 | $26,925 | |
| Financial Analysis / Deal Attractiveness | |||||
| Years: | 5 | 10 | 15 | 20 | |
| Cap Rate | 5.9% | 7.2% | 8.6% | 10.1% | |
| Net Cash Flow | $25,702 | $62,897 | $112,780 | $176,672 | |
| Equity Increase | $84,386 | $189,216 | $319,676 | $482,333 | |
| Total Gain | $110,088 | $252,113 | $432,456 | $659,006 | |
| Average Cash Flow/Year | $5,140 | $6,290 | $7,519 | $8,834 | |
| Average Cash Flow/Month | $428 | $524 | $627 | $736 | |
| Average Gain/Year | $22,018 | $25,211 | $28,830 | $32,950 | |
| Average ROI | 125.4% | 287.2% | 492.7% | 750.7% | |
| Annual ROI | 25.1% | 28.7% | 32.8% | 37.5% | |
| Projected Property Value | $382,029 | $464,797 | $565,496 | $688,013 | |
| Property Ratings Suggestions | |||||
| Item | Suggested Criteria (Min.) | This Property | FAVORABLE / INSUFFICIENT | ||
| Schools | B | C | INSUFFICIENT | ||
| Square Feet | 1000 | 1,044 | FAVORABLE | ||
| Bedrooms | 3 | 2 | INSUFFICIENT | ||
| Bathrooms | 2 | 2 | FAVORABLE | ||
| Year Built | 1970 | 1912 | INSUFFICIENT | ||
| Rent/Price (%) | 0.75% | 0.86% | FAVORABLE | ||
| Average Cash Flow (at year 5) | $125 | $428 | FAVORABLE | ||
| Average ROI (at year 5) | 15% | 25.1% | FAVORABLE | ||
* KC Plaza/Country Club Downtown is in the center circle
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.