Community Golf Course Homes

The owners have in the past expected full price with the buyer to also promise that no condition item related credit would be asked for when under contract. Things are always changing as we know including individual seller motivation levels. Qualified buyers are welcome to submit back up offers.

This property is far under renting even if compared to what could be received were one to only use Section 8 renters and charge them what is now possible per recently updated payment standards. The property has been referred to as being like the ugly duckling on the street compared to the others around it that have been recently upgraded, at least cosmetically, thus allowing much higher rental income.

A new future owner could potentially receive $70,186/mo. of rental income once fully stabilized even just based on updated Section 8 rental price standard guidelines, with a 5% vacancy rate. This is a nearly 60% increase over the current monthly rental income level of about $42,000 per month. With a new possible NOI of $620,346 using a 95% occupancy level and the same current expenses other than with a bump up in management and some for more utilities when with higher occupancy, with the rents possible after renovation is done and stabilization occurs, this equates to a 14.6% “Pro Forma” cap rate, sale price.

Following are the renovation estimates given me by my local contractor client that has repeatedly been at the property as well as has seen all the inspection reports.

Interior rehabbing = $200,000 – ($2,000 max per unit x 88 units = $176,000 + $24,000 extra cushion) *This includes plumbing repairs and drywall replacement where needed.

AC’s – $100,000 ($2,300/unit avg. installed price as per estimate given by Mechanical Forced Air LLC x 44 upstairs units)

All other Exterior Not HVAC related – $250,000 (roof, stairs & decking, painting, landscaping)
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$550,000 – Total Renovation Expenses