Posted by Randy on July 03, 2003 at 09:04:36:
Based on those rental rates ($1100 + $525), 5% vacancy rate market value for investment purposes is $154,400 At the TOP Rental rates ($1300 & $650) market value is $192,200.
If the seller refinanced new money @5% 200k (giving him all his equity) PITI $1017 you L/O at that rate or buy sub2? If both units remain rented and no PROBLEM tenants for awhile, you can profit about $7k a year. Since he did a refi 11/02 and probably got some cash I?d PASS unless you want to live there and have the 2nd unit help pay the mortgage.