Hello everybody this is Brian Olsen with Coldwell Banker and I am in Nephi right now and I’m at a duplex that I have listed in a great part of town about 500 East 500 north. It is in an area where the current zoning doesn’t allow for multi-housing, but this duplex was grandfathered in and this duplex is in great shape so it really benefits and the houses around here are in great shape also.
So it’s a great location, this duplex is listed for $250,000. Each side is two bedrooms and one bath. The owner of the home is meticulous, he’s just taken very good care of it; as renters have changed he’ll go in and he’ll update things. He actually the South unit here went in about a year ago and redid the flooring tile in the bathroom and had a renter in there about six years and a new water heater, new cabinets in the kitchen; he really did a lot to it. The north unit he did about four years ago; he had a renter move out and he went through and did the same thing.
You know one of the things to look at when you’re looking at multi-unit is depending on how much money you’re able to put down, what the rental rates are so you can get your cap rate you know depending on how much you’re gonna put down cash on it. But also your occupancy; lots of people look at a cap rate and they just say “Okay I’ve got to have this certain cap rate, I want to have a you know seven, eight, nine, ten percent cap rate.” And lots of times they don’t take into account how much vacancy the property has.
Now in duplexes it’s a little bit easier just because you’ve only got two units, but if you miss one unit that’s fifty percent vacancy rate. This has been rented ever since the current seller bought it about nine years ago, he’s not had a problem keeping it rented.
So anyway it’s a great property, it’s all brick, carport on each side, big yard, all fenced, including the dividing fence in the back; has a gate in between the two.
So if you’re interested in multi-family property it’s a great investment. Give me 801 318-3108 I can get you some more information or go to my website www.bolsenre.com and you can see more information there. Anyway, have a great weekend.