Don Kanare - Realtor / E-Pro - Your Incline Village Real Estate Agent - www.InsideIncline.com
Lakeshore Realty - 954 Lakeshore Blvd. - Incline Village, NV 89451 - 775-831-7000 / 775-831-6777 (fax)

Incline Village Real Estate - MLS Listings Additional Information - Harold Dr. Triplex

Since the building has three units, (2 have three bedrooms and 1.5 baths and 1 has two bedrooms and 1 bath) there are all sorts of options for renting the units on either a short term or long term basis. Someone who is looking for a property in the $400,000-$500,000 price range could easily afford this triplex since the rent that you would get from having long-term leases on two of the three units would drive a $400,000 mortgage. That way you could rent out two of the units on a long-term basis and keep one unit to use as your own vacation place and earn extra income from vacation rentals in that third unit (as the current owner has done over the years).

Another option would be to purchase the building with 20% to 30% down, rent out all three units and get breakeven or a little bit of positive cash flow, assuming you can use the tax benefits, then just ride up the appreciation for a few years.

A third option, would be to do cosmetic upgrades and some remodeling in the two larger units and raise the rents substantially. Unit number three is already in very good condition with nice appliances, newer cabinets and a well-maintained interior.

For an affluent investor with some extra cash or under performing stocks / bonds that they want to reposition, this presents a very unique investment opportunity to effectively start your own bank or set up a long term annuity for you or your family members. You could purchase the building for all cash, set up a Co-op or a TIC then self-finance the resale of the units. The buyers of the individual units would pay the taxes, insurance, common area maintenance costs, etc., so the new owner would really become a banker, not a landlord.

By breaking up the building into three separate units it would be like breaking up a conglomerate and selling the parts for more than the original cost of the whole. In this case, I believe the units in their current condition would sell for an aggregate total of about $1,100,000. With some cosmetic updating and remodeling in units 1 and 2, I believe you could push the aggregate price out to the $1,250,000 to $1,300,000 price range based on current market values.