The listing agent advertises this as "great for investors" claiming that the unit, which is facing foreclosure, is rented for $1100. First, who in the right minds would actually rent this place for $1100? Second, at $130,000 with $284 in monthly HOA, it PITI would cost at least $1350 per month (assuming a 7% loan) -- not exactly cash-flow positive. Lastly, I wonder if anyone has bothered to tell the renter that his landlord was facing foreclosure and will probably be evicted shortly?
3780 NW 91ST LN # 3780, Sunrise, FL 33351
- 2 Bed, 2 Bath Condo
- Bought in November 2006 for $203,000
- On the MLS for $130,000
- Days on the Market: 108
- Loss before the Realtor® commission: $73,000
- Loss after the Realtor® commission: $80,800
Stumble It!
5 comments:
Positive cash flow is very hard to achieve nowadays. However 1100.00 for a 2/2 is not unreasonable.
1 year ago 1100.00 for a 2/2 was reasonable, but now rents are crashing down and 850.00 is more likely for this apartment. I am going to move if my landlord doesn't renegotiate a lower price in August, assuming there is no change in the market.
-Happy Renting
Braziliano,
$1100 for a nice 2/2 in a top-end, gated, newly-constructed condo or townhouse in West Broward is not unreasonable.
However, I know this area well.
$1100 in this dump is unreasonable. It simply isn't market rate and its not even close.
Like the previous poster said, a place like this would not even be remotely competitive at $1100.
If I were purchasing this, I would figure I would be able to get around $900 a month if I were lucky.
You're right, positive cash flow is nearly impossible to achieve nowaday. However, I do not see this being the case two years from now, just like it was back in 2000 before the bubble.
Once we return to a healthy, normal, substainable market, positive cash flow will definitely be avaiable for those who watch the market closely and have the cash to close quickly.
You sound like a very reasonable man! Keep in touch!
Who would buy a place like this one? It would be like living in Room 208 of the Travel Lodge/Super 8, etc permanently!
What gives? Seriously, educate me...
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