Buying A Duplex, Selling It As 2 Half Plexes.
Not sure if this where to post it.
I found a duplex that is for sale for 500K in Sacramento. It is 2 bed/1.5 bath with extra room and one 2/1 with extra "room". Comparables have sold from 320,000 to 410,000 and at worst 300K a piece is what is would sell for. I am going to call the Sac county planner to see if I can sell it off as two halfplexes. I wanted to know if anyone has any personal experience, and tips or suggestions. Also wanted to know what time line it would be for it to get approved, I would like to flip it in 2 months, and finding buyers in two months in this market at the price is very practicle. Thanks
so if its sold as a condo are there "condo fees" or "condo maintainance"?
No, that wasnt what I meant. As far as advertising, buyer will expect to pay fees if it isa condo, normally 100-300 in Sac which might turn people back.
Retalked to the planner and they said that the half plexes would need to get there own parcel numbers, before being sold. I found out that the time line would be SIX MONTHS. Way longer then I planned on holding. Is there anything else I could do to move it faster?
You definately need to wait until the entire complex is done converting and completely sold. That is when you can expect the most money for your investment. At what phase are they at? How many more apartments are left? How much longer would it be till the sell out?
For florida that price is pretty cheap. In south florida there was a condo conversion where they sold 1 bedroom 1 bath starting at 220k.
Quote:
On 2005-09-26 13:35, Carlos67 wrote:
You definately need to wait until the entire complex is done converting and completely sold. That is when you can expect the most money for your investment. At what phase are they at? How many more apartments are left? How much longer would it be till the sell out?
For florida that price is pretty cheap. In south florida there was a condo conversion where they sold 1 bedroom 1 bath starting at 220k.
Well, I feel better now. Both of my units already went up 27K, and they are through the VIP list only. They are running ads beginning this week in the local papers to open sale to public. It is in a very nice area, A schools. I am not sure how many units are left, but I think the remaining units will go very quickly. One of my units is vacant, and I am looking to make some quick cash on it. The other I will wait for a year, then turn it. I have renters in it, and creatively financed it so that it works out. These will be my first deals, and I am excited about it. Any advice?
You are sitting on two goldmines! You need to rent the other one out. You will be very sorry if you sell the other one. If they are just now opening them up to the public they are definately going to shoot up.
I am currently in the process of closing on a unit in a condo conversion and it has gone up 5000 dollars in the first month. [ Edited by Carlos67 on Date 09/26/2005 ]
Consider buying a rental property with a positive cash flow.
[addsig]
If there is no equity, lease option.
If there is a lot of equity, subject to.
Either approach would work, but if there is a lot of equity in the property, I would want the deed right away.
I am in Myrtle Beach, South Carolina-
This is one of the fastest growing real estate markets in the US, you may want to consider investments in this area over the next 5-10 years. There is a NAR report coming out on this area that states that within the next ten years that a large % of Americans will be within a days drive of this area. Also with the Gulf Coast being hit hard this season and Fla last season, the SC Coast offers great investment opportunities.
Good Luck