Hipster loves multi-family properties. Why? They make cents (or rather – sense). Instead of adding just one source of monthly income to your portfolio via a single family rental, it’s pretty great to add several from a multi-family property (though, of course, we love single families too). Hipster, as you may know, also loves investing in Chicago. What’s not to love about Chi-town? From the Sears Tower (okay, okay – it’s called Willis Tower now) to great comedy and delicious pizza – this city rocks. It’s not only fun to visit: it’s a great place for investors to set up shop. Why? Lots of jobs means lots of stable tenants. Lots of colleges mean lots of tenants. Oh, and the buy-in prices are superb. Check out today’s find: it’s a triplex with a one year scope of work warranty!
Location: Chicago, IL. Triplex.
Built In: 1913(but fully redeveloped)
Purchase price: $205,000 (not a foreclosure, normal sale)
Property info: 9 bedrooms, 3 bathrooms, 4,818 square feet (total for all 3 units)
Monthly rent collected: $3,250
Property taxes: $313
Property management fees: $260
Owner Paid Utilities: $145
Monthly expenses (conservatively estimated)
Vacancy (7%): $228
Repairs (5%): $163
Total Monthly Expenses- $875
Net Income = Income – Expenses = $1,391
Cap Rate =
annual net income (non-inclusive of mortgage payment) / purchase price = 8.11%
Cash-on-cash return =
Depends on your leveraging.
If you are interested in this property or seeing others like it, contact Melissa at email@example.com.