Analyzed Deals

I found an e-mail from a few days ago in an e-mail account I don’t use from a realtor in Eugene, Oregon with a very interesting deal.

This duplex is located near the University of Oregon in Eugene.

One unit is a 3 bedroom, 1 bath and the other is a 2/1 bath and each has its own meter. Rent it out residential or it has some interesting potential with its current zoning… talk to the real estate professional for more detailed information about how this could be a profitable twist to this property.

Combined rents for both sides appear to be about $1,560.

Offering it as a rent-to-own, you could take advantage of the huge equity discount from the original asking price of $379K and the current asking price of $259,000.

For example, if you purchased it for $259,000 at financed all of the purchase at 7%, your payments (not including taxes and insurance) would be approximately $1,730 per month.

If you sold it, on a rent-to-own for $324,900 and offered the tenant buyers payments for one or two years at 7.99% (until they went out and got their own loan), you would be collecting approximately $2,213 per month (and they would be paying taxes and insurance). That’s a positive difference of about $483 per month between your payment and what they would be paying you.

By offering some flexible owning financing while someone is getting a new loan, you can possible collect an upfront down payment toward the purchase (which is usually better than a security deposit) and see significant positive cash flow.

For more information about this particular property, deal #17 or other Eugene investor properties contact me and I will put you in contact with a local real estate professional that can assist you with your purchase.

Until my next post,

James

This is another deal in St Louis, Missouri from a real estate broker in that market.

Estimated value of this property is approximately $84,000. Seller is asking $59,900.

You should inspect and verify this on your own, but the property apparently just needs some paint and minor cosmetic touch up.

It should rent in the $700 per month range.  I have estimates of approximately $175 per month extra for taxes, insurance and sewer.

If you were to finance the entire purchase price of $59,900 at 7% for 30 years, your monthly payments would be about $405.40 per month.

If you add in the estimated $175 for taxes, insurance and sewer and you collect $700 per month in rent, you would have a positive cash flow of $119.60 and sitting in a nice equity position for long term wealth building as the mortgage is paid down by the tenant.

Or, sell it on a rent-to-own with payments based on an 8% interest rate on the full $84,000 and get almost $100 more per month in cash flow with a built in buyer in a few years.

For more information on this or other St Louis investor specials, contact me about deal #16 and I will put you in touch with a real estate professional that can represent you in this transaction.

Until my next post,

James

I just had an associate Realtor in St Louis e-mail me with a few very interesting deals. I am going to pick two to post, but if you are interested in deals like this, go ahead and request info about either one of these and we can put you in touch with him and he can show you these or some other very interesting properties he has.

This property is located in St Louis, Missouri.

The estimated value of this one is approximately $58,500 and the asking price is $36,500. You will want to work with the real estate professional we recommend to verify comparable sales, but this could make a good quick fix and flip or a rental property with positive cash flow.

Estimated rental income on it would be about $500 and estimated taxes, insurance and sewer are about $120 for all three. Combined with the Fed’s rate drop again today and a very conservative 7% interest rate for 30 year amortized loan, you are looking at payments on the entire purchase price of $36,500 of $242.84 per month. So, even adding back in the $120 per month for taxes, insurance and sewer, you are looking at approximately $137 per month positive cash flow.

For more information about this deal #15 and other investor deals like this, contact me.

Until my next post,

James