Aurora Condo Rental Property – Case Study

This case study is talked about in the January Monthly Round Up.

map

Property Details:

  • 3 Bedroom
  • 2 Bathroom
  • Purchase Price: $180,000

We like this property because we are very familiar with the complex and know that we can create cash flow immediately. In the current Denver market attached homes are cash flowing much better than single-family homes. This unit did not require any major rehab to get it rent ready which made for an ideal situation for this investor. This complex is non-warrantable, however, Joe Massey at Castle & Cooke Mortgage was able to underwrite the loan with a minimum 25% down payment on the unit.

appraiser

The appraiser estimated the rents for this unit at $1,625 but with our experience working in this complex we know we can get $1850 through the Section 8 housing program. Even if this investor decides to not rent through the program he should be able to get $1800 for the unit.

arora
Annual Opration
expenses

This investor was able to get a 7.8% CAP rate in Denver, with an HOA, with a property management company. He is able to meet the 1% rule with this investment as well. This investors plans on holding the unit for the long term. He should be able to expect healthy appreciation and low vacancy. We love finding investors deals like this! If you are looking for investment like this or would like to know more information about this one you can contact me at Chris@Denverinvestmentrealestate.com for financing options or information please reach out to Joe Massey at Castle & Cooke Mortgage, Jmassey@castlecookmortgage.com

Analyze Before You Buy
Start Evaluating Properties Today with Our Free Toolkit
In a rapidly changing market, having the tools you need to help you analyze the data is critical. Know what the numbers will look like ahead of time so you don't buy a bad deal. Our toolkit is designed to help you thoroughly analyze any kind of deal so you can invest with confidence.
Start analyzing your Colorado investment properties today
Rental Property Spreadsheet • House Hacking Spreadsheet BRRRR Calculator Spreadsheet • Fix and Flip Deal Analyzer Investing Maps • Rehab Pricing Estimator
Start analyzing your Colorado investment properties today
Rental Property Spreadsheet • House Hacking Spreadsheet BRRRR Calculator Spreadsheet • Fix and Flip Deal Analyzer Investing Maps • Rehab Pricing Estimator
Authors
Chris Lopez
Chris Lopez is a Denver area real estate entrepreneur and investor, as well as the host of Bigger Pockets’ House Hackerz and the Denver Real Estate Investing Podcast.
Similar Post You Might Also Like
Deal Analysis - Denver
How to Combine House Hack Strategies to Live for Free
One of the great things about house hacking is its versatility—house hackers aren’t locked into just one strategy. In this
Colorado Springs
October 2022 Market Updates: Take Advantage of Dropping Rates and Seller Concessions
The October 2022 market stats for Denver, Colorado Springs, and Pueblo are now out, and our roundtable is back to
Sign Up For Our Newsletter
What do you want to learn today?