Newly Listed Multi-Family Investment Property in Leominster
Are you looking to make an investment in real estate? Do you think you are ready to become a landlord? Now is a great time to be buying investment real estate in Leominster and I happen to sell investment real estate in Leominster. Prices are just now starting to move up and there aren’t a lot of options if you are looking for a decent 4+ family house in a good location. Price per unit is in the $50k-$60k range and these rates are only expected to go up as demand diminishes.
Available now is a six family house on Pond St in Leominster that is fully occupied with below market rate rents and long term tenants. Typically you see below market rate rents when a landlord chooses to stick with long term solid tenants rather than go with a higher rental rate and a new tenant. This situation is great for investors that have owned a property for several years but also creates upside potential for a new investor. Slowly replacing long-term low rent tenants with new tenants paying higher rents over time increases cash flow while minimizing the risk of a property having extended periods with several vacancies.
Are you looking for strong cash flow?
181 Pond in Leominster is being offered for sale with an annual pre-tax cash flow of over $15K or approximately $1,300 per month. Based on current mortgage rates and terms this property has a debt service coverage ratio of 1.95 meaning the property brings in 95% more income (almost double) than is required on an annual basis to cover all expenses including the mortgage.
Are you looking for a strong rental market?
In terms of Leominster’s most desirable areas to live, the west side of town is the place people want to live. The west side, including Pond St, offers the most convenient access to the downtown, to shopping areas, the highway, and convenient access to schools. Pond St is located just off of West St extending to Pleasant St and is a short walk to downtown Leominster.
Are you looking for help evaluating different real estate investments?
If you aren’t sure where you want to invest your money and have questions about different types of properties, risk, reward, or anything else real estate related please comment below. I have owned and managed real estate in Leominster and the surrounding area for almost 15 years and currently own and manage 25 residential units in Leominster. I know what makes for a good investment whether it be for long-term stable growth or a short-term, quick turn around (flip) type of investment. Please read through some of my other posts and let me know what questions you have about investing in real estate in Central MA.
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