Potential Property Four #7

EUREKA! Okay, I’m trying not to get excited but this is too damned good. So, yesterday I went to take a look at the attic of PP4 #5. After that, I had to go take a look at another property, PP4 #7. But first, the attic of PP4 #5:

Stairs that lead to the attic. This is where the kitchen would go

From the stairway looking through

Big living room. Look like this will make a very nice studio apartment.

 If you’re not gonna show me a finished attic, show me THIS!! The plumbing and electric is already run through. The floors are solid and the place is fully insulated. The only thing I have to do is replace the panel with sheetrock, put up a small kitchen and bathroom, and I’m all set! I brought handyman Alfonso with me, and he estimates it’ll cost $2000 worth of labor to finish the attic completely, with another $2,000 in materials (depending on what I want). That’s four grand to have a living space in a beautiful neighborhood that’s quiet and… AH! So cool. This attic has almost the same design as the attic of PP4 #1, remember?

The attic of PP4 #1. I'll never forgot this sweet piece of ass

If I can make the attic apartment look like that, I’ll be the man. This place even has a garage, so no more cleaning bird shit or snow off my Cherokee! I did a fairly decent job of masking my excitement around the owner or Alfonso, but my heart was doing backflips! And now for PP4 #7...

PP4 #7. Outside needs a porch fix-up and a partial re-roof

Nice (but small) Bedroom

Very nice living room and dining room

Good bathroom. Tub surround needs a bit of work, but not costly at all

This is PP4 #7, a two family that’s only 3 blocks away from Property 1. It has two 3-bedroom apartments, and the downstairs is completely vacant. The neighborhood is awesome and the place needs about $4,000 worth of work (roof and bathroom), but that’s no big deal. And why is it no big deal. Because the place costs only $46,000! That’s $29,000 less than its assessed value! The reason for the price is that the place is bank-owned, and that’s where the bad news comes in. Investors are only allowed to bid on this property 16 days after it goes for sale. This gives owner-occupants a chance to bid, as owner occupants are what the city wants… especially in good neighborhoods like that. So I have to cross my fingers and hope no owner-occs put in a bid through June 16th. On the 17th, I put in my offer and it’ll be for $47,000. Yes, $1000 above the asking price. Why? Because I want the fucking place, and I’m not the only investor who sees that buying PP4 #7 gives an instant $29,000 in equity. That’s a VERY rare find.

My plan is to first buy PP4 #7. During the time it takes to close on that, I’ll be saving up enough to buy PP4 #5. After closing costs, PP4 #7 should cost around $13,000. This means I can buy PP4 #5 by October of this year. If all goes well, I’ll have two properties in great neighborhoods, plus $10,000 in the bank to start 2016. That would be awesome! Now, if someone gets PP4 #7 before me, then I’ll buy PP4 #5 and see what other opportunities come before year’s end. Either way, I think I can safely say that I found my long sought-after Property 4. And if luck is one my side for once, I’ve found Property 5 as well. Wow! All it takes is one day and my house hunting blues become hot live jazz...