Posted by chris carter on March 04, 2002 at 11:26:42:
I figured three percent as a worse case scenerio. The community is not a bad looking community, but it seems to be affordable and attractive to lower income families. I should note that the community is surrounded by some very attractive townhome and single family home communities. In addition, the community is located near an army base. Do you think my assessment is far fetched? What is your opinion of the information?
How to make this a creative deal? - Posted by chris carter
Posted by chris carter on March 04, 2002 at 08:23:56:
I am interested in a property to lease under Section 8 and would like to know if there are any creative ways to make this property profitable. My concern is the possible depreciation of the property over time (i.e., 3% per year). I believe that I might be able to hold the property for 4 years before the depreciation is equivalent to my offer/contract price. So, here are the facts.
Sale price: 72500
FairMarket Value: 68000
Offer price: 62000
Investment: 10000
Rent per month: 1000
Gross income: 12000
Vacancy loss: 840
Landscaping: 100
Water bill: 100
HOA: 1860
Real estate taxes: 932
Insurance: 300
MIP: 250
Advertising: 75
Mortgage Payment@ 8%: 4580
Re: How to make this a creative deal? - Posted by Brent_IL
Posted by Brent_IL on March 04, 2002 at 10:26:34:
Why do you feel that the property value will decrease by 3% each year?