Address: 11 Moeller Street, Buffalo
Property Type: Double unit house Sale Price: $28,050 Gross Yield: 44%
This double unit house is in a less attractive area, and has one longstanding section 8 tenant (with his brother in the other unit.) The current tenants are good and the yield is excellent, but the house does go with the risk of purchasing in a ‘rough’ neighbourhood.
Vendor Financing – 5 year loan of 30% @ 10% interest – $8415 loan, with monthly repayments of $210 ($140 amortisation and $70 interest)Total Cost to Buyer – $20,435
Legals – $800
Gross Monthly Rent $1025
Monthly Costs $208
Net Monthly Rent $857 – 113 management = $744
IRR in first year assuming no capital growth – Net Income / Cost = 39%
IRR after 5 years assuming no capital growth – Net Income/Cost = 195%
CONTACT US
Tel: +44 20 7193 2079
E-mail: info at abbotsinchcapital.co.uk