House of the Day: 498 Henry Street
This FSBOisn’t going to win any beauty contests (it appears to have been stripped of much of its charm over the years), but it’s a decent-sized building in a good, albeit somewhat commercial, location. The rental income on the four-family is $96,000 which will barely cover the mortgage when you allow for $20,000 or so…
This FSBOisn’t going to win any beauty contests (it appears to have been stripped of much of its charm over the years), but it’s a decent-sized building in a good, albeit somewhat commercial, location. The rental income on the four-family is $96,000 which will barely cover the mortgage when you allow for $20,000 or so of expenses. So the buyer’s going to have to be someone who wants to grow into the building or an investor with a very long time horizon. Anyone know how long this has been on the market?
FSBO House [498Henry.com] GMAP P*Shark
with so little character left over and a setup solely as a 4 apt. with sep. utilities how on earth would you divide this place into two duplexes and still have it worth $1.7M?
Those numbers don’t work with the tax. Add heat, maintenance, insurance, etc. and you have a butt ugly building which barely pays for itself.
Thanks Geno. I definitely get it now! It sounds like this guy is waiting for someone who wants to convert it to a one or two family then.
If I were going to buy this, I would not plan to use it as a 4-family. This building would have more value if it were converted into either a triplex with rental or a double duplex. that tax bill is a killer, but you could likely get it adjusted down if the c/o was changed to a 1-2 family.
I think the killer is the $15k tax bill. About $10k more per year than other 4 fams this size/location.
But if 1st floor could be made commercial ?
I know investor numbers may point to $1.2 or so but you can’t buy anything around there for that kind of (low)price so forget that.
this house has been on the market for near 6 months. he uses craigslist and originally had it for $1.795M. He wont respond to anything lower than %1.6M
you can only access the basement thru the first floor apartment. $2000/mo rent wont beat a 5% cap rate and 1 of the 2 bedrooms is only 8×10.
what you’re saying is a little bit Greek to me, Geno, but it sounds interesting. Care to elaborate?
the Taxes are $15000 a year thats right fifteen thousand folks. Also the guy has had this on craigslist for months. Get real the home is worth 1.2 mill no more. also next to a cleaners no way Cancer fumes.
I think once the leases are up, the rents can be $200 to $400 extra a month per apt with little renovation.