Need Help To Know The Real Value Of A Multi Unit Property
Hi,
I have just seen a duplex in a decent neighbourhood. The asking price is around 70 k. However the condition of the duplex is not so good. It needs some rehab of about twenty thousand dollars. The seller is motivated and is willing to negotiate. If I buy this at say 50 K and spend 20 K on rehab then it should be ready to rent at around 600 dollar per month for each of the unit. However I would like to know how to know the real value of the property if I plan to sell it. I would appreciate any help on this. BTW I am new to real estate investing.
Best regards
Thanks for your help. I appreciate it. Shopping for rent info is a great idea which I did not think about. Yes I plan to rent both units and each is 2 bed and 1 bath. So for example if I come to find that I can rent each unit for say 750 each then what would be the market value of the property should I decide to sell it. Is there any formula for it.
Best regards.
Thanks ITBInvestor and Loon for the generous help. I appreciate it so much. I will try all the various options you folks have stated.
Regards
Thanks dmakrketing1 for the insightful advise. Actually my most concern is that to find asbestos, lead or mold while doing a rehab. Then it will be a nightmare scenario. I would rather not invest in this property than inheriting those kind of big issues.
Regards.
You can get a "real" property condition report from an independent, and licensed, property inspector. They can alert you to expensive sink holes that may be lurking.