dallas property available 160k 7 cap rateThis property is no longer available. Sold!

This property is available now!! It is fully turnkey, meaning completely rehabbed with tenants and property management in place. The turnkey supplier has an excellent reputation (ask Jay Dao from the Testimonials!)

Dallas is a really interesting market right now. It’s one of the few really popular cities that is so hot for people moving there, houses are selling above asking price (even non-investment properties), and yet there are still profitable deals available! You won’t see as high of cap rates as you will in a lot of other cities, but look at the quality of the property below! That’s nuts. Dallas is a mega appreciating city, so growth and quality really make up for the slightly lower cap rate than maybe what you are used to seeing.

If you think you want this property, email Ali directly (no time for going through the Contact page! This one is going to go fast. ali@hipsterinvestments.com)

Location: Dallas, TX. Single-Family Home. Built In: 2001

Purchase price: $160,000 (not a foreclosure, normal sale)

Property info: 4 bedroom, 2.5 bathroom, 2380 square feet

Income

Monthly rent collected: $1500

Expenses

Monthly expenses

Property taxes: $227

Insurance: $93 (first year is paid by the seller! So this number won’t count until year 2)

Property management fees: $72

Monthly expenses (conservatively estimated)

Vacancy and Repairs (14%): $210

Total Monthly Expenses- $602

Net Income = Income – Expenses =  $898 ($1,108 with no vacancy or repairs)

 

Advanced Numbers

Cap Rate =

annual net income (non-inclusive of mortgage payment) / purchase price = 6.7% (remember that is conservative with the vacancy and repairs estimates included)

Cash-on-cash return =

Depends on your leveraging.

 

Are you still thinking the cap rate is lower than what you are interested in? Check out one of Ali’s articles from BiggerPockets that hits this exact topic!

The 2% Rule: Fact, Fiction, or Feasible?

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