My favorite "get-er-done" strategy these days involves earbuds, my Android smartphone, the Pandora app and a healthy dose of Sugarland.
Few artists can fire me up while helping me focus at the same time like Jennifer Nettles of Sugarland.....on high volume.
My husband doesn't get it. "How can you work with music blaring in your ears?" I pause my head bobbing and shrug .
Who knows? I've been like this from Childhood...can't read a book with out the TV or radio on, can't be at my desk without some kind of background noise and if I really need to focus, then I plug in the buds and crank it up....no distractions, perfectly focused.
This strategy worked for me yesterday as I was comping out this duplex in Federal Way. Pricing multi-level properties in any market is challenging, but when mixed with short sales and REO's it's like solving that 1000 piece jigsaw puzzle without my glasses. But....the nice thing about working with investment properties is there are a variety of ways to help determine value. Such as Cap Rate & Gross Rent Multiplier.
I hunkered down, did the math, worked it backwards and forwards and finally the seller and I agreed on a list price of $265,000 for this 6 BR, 2 BA 2392 sq. ft Duplex.
And the math works!
Did you know a buyer can purchase a multi-family propertie (1-4 units) if they are planning to live in one of the units for as little s 3.5% down? Live in one unit and lease the other to a family member, friend or heck....even a stranger who's going to basically subsidize your mortgage payment.
Here's how it works:
At it's current list price of $265,000, on an FHA purchase, the downpayment would be $9275.
Of course you'd have to talk with your lender about qualifying rates, but let's just use an arbitrary 5%...that would put a principle & interest payment around $1423. Add in taxes & insurance at an estimated $293 for a total payment of $1716.25. But...here's the good part, rent out the other unit (owner had lower unit rented Section 8 at $1300 but market rent is probably in the 1100-1200 range) for say $1100 and you're living on the cheap, in a really comfortable, spacious home!
Both units are 3 Bedroom and they are nearly 1200 square feet each. The Living Rooms feature mansonry wood-burning fireplaces, formal Dining rooms and large eat-in Kitchens. The lower unit has newer carpet, tile Kitchen counters, newer vinyl in the Kitchen and Bath and updated appliances.
We could also do the math for the investor (still cash flows) but the Droid battery is about dead (what's new?) so you can contact me directly if you'd like to go over that scenario.
By the way, the Duplex is only 23 miles & 3 Right turns from my house....
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