Sold $610,000 - Duplex
If you didn’t know already, finding a good property in a good location that cash flows well is getting tougher and tougher. So, these days I always have a sense of satisfaction if I can bring you something like that—and I have.
This one is on a good Boyle Heights street, three doors down from one of the coolest looking synagogues around which dates back to many decades ago when Boyle Heights was the most prominent Jewish neighborhood in L.A. One of the great things about this property is it was built only about 10 years ago which provides two distinct benefits: (1) all the systems are in good shape and (2) there is no rent control!
Each of these units is a 1250 sq ft, 4-bed, 2-bath and the current tenants are paying $1800/mo each. Even that makes the price of $610K pretty good. But if you paint the exterior a more attractive color, spend a few bucks cleaning up the interior from tenant wear and tear, maybe put in some sensible flooring and raise the rent (or get new tenants), you will easily be at $2350/mo in each unit, and now we are really talking about something great!
Boyle Heights is one of the most rapidly gentrifying neighborhoods in L.A., so even that $2350/mo figure will continue to rise steadily and rapidly. If you figure you will spend about $20K (it won’t be more than that,) you will be cash flowing close to $1500/mo or about 11% cash-on-cash return in an upside location. I honestly don’t think you can beat that. Let me know if you want my help getting it.
