Potential Property Charlie #1

 Front

  Too Many Bushes
 

 Second building

 

  Scrape and Paint Exterior

 

Bad Roof

I know it’s early and I have yet to do a full commercial property search with a commercial real estate agent yet, but I believe I have found what could be an EXTREMELY profitable contender for property “Charlie”.

This is a 6-unit piece of commercial real estate. The first building has 4 units while the second smaller building has 2 units. I haven’t done much research on it yet and I probably won’t until I’m in a better financial situation to actually buy the property, so I don’t know the details about which apartments are vacant or what kind of leases the tenants have. While I was looking at the place, a disgusting looking woman, her mother, and her baby came out for a walk. They asked me whether I am interested in buying the property. They all smelled like welfare but I put my anger aside and said that I was “just looking”. Then she said “Well, if you are gonna buy this place then we’re gonna be your tenants!” At first I thought nothing of it, but then I started to wonder whether they came out just to scare me off—and whether they have done that to previous investors. Maybe that’s one of the reasons it’s been on the market for so long? Well, who cares. Should I purchase the property, my first order of business will be to throw all those filthy animals out.

The reason why I’m really focused on the property besides the potential income ($2000 per month profit) is the neighborhood. This piece of real estate is located in an area of Smalltown known as Beautiful Valley, which is even more of a desired location than the Eastling area that property Beta is located. It seems to be the ONLY property on that block or in that immediate area that is bringing value down. All the lawns are well maintained; all the houses on the block are single family and owned by old people and families. As far as location goes, Beautiful Valley is A+. Buying a value property in an A location can yield EXTREME benefits and that’s why I’m really looking hard at this place.

The seller wants 115k but I’m pretty sure I can get them down to 107k, maybe even 100k considering how long the seller has had this place on the market. I haven’t seen the inside of the apartments, but the estimate on just repairing the exterior (scrap and paint the wood, tree and debris removal, fixing one side of the roof) will be about $5,000 to $6,000. So I’ll probably have to have 10k after purchase just to make the place look as nice as I want it. This is just a first glance, but I like the potential. I’ll keep my eyes out for properties like this leading up to October, the month in which I should have enough to put a down-payment on a property like that. The motivation is here. The property is here. All I need now is the money.