Coin-op--1609 Lincoln Avenue, Alameda, CA

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This big house at 1609 Lincoln (MLS #40346822) was on the market for a while in 2006 or 2007, and it is now back at a similar price ($1,099,000). There's no description in the MLS listing, but these specs are interesting:

Total Units:4
Unit 1 Bedrooms:2
Unit 2 Bedrooms:1+
Unit 3 Bedrooms:1+
Unit 4 Bedrooms:2
Laundry: in basement
in laundry room
community facility
coin operated
owned laundry equipment
Note the super-classy coin-op laundry. If I remember correctly, there's also a storage area that you can rent to your tenants. The house has a carport-like thing sticking out of its left side, which goes really well with its 1895 Victorian architecture.

Zillow's Zestimates the house at $847,500, and the transaction history reveals the following:

Last sale and tax info

Sold 06/17/2005: $890,000
2007 Property Tax: $11,718
I'm not sure what made the owners think they'd have a cashflow-positive rental for that purchase price (I'd guess the rent comes out to $5,000 a month, if that, not counting the proceeds from the laundry facility), or that they'll be luckier in mid-2008 than they were the last time they tried to sell this place.

Update 8/18/08
: Still on the market at $1,099,000. My guess of $5,000 monthly rental income was almost right on the money--the listing claims to be a...

$1099000 Low Maintenance Good Income Eastlake Victorian Fourplex in Alameda (alameda)

with $63,960 rental income, i.e. $5,330 / month.

Let's see what a great investment this property is.

First, the tenants pay for all utilities except water. According to Alameda County's Water District, the average water bill is about $37 a month; because we have 4 units but only one yard to keep hydrated, let's make that an even $100 for the whole house.

And what's the monthly payment on a $1,099,000 assuming 20% down and a generously low 6.25% interest rate? Just a hair over $5,413.

Add $976 / month in property tax, .5% a year for maintenance (which is really low, but what the heck), i.e. $458 / month, some kind of insurance at, say, $100 a month, and we have a nice round fixed $7,047 monthly with no plumbing disasters or roof leaks.

How exactly is a $1,717 monthy loss ($20,604 a year) a "Good Income" property? Is everybody out there a complete imbecile?

You don't have to answer that.

About this Entry

This page contains a single entry by L. Opine published on June 3, 2008 8:15 AM.

Boosting your zestimate--1419 Cottage Street, Alameda, CA was the previous entry in this blog.

The first shoe drops--2312 Eagle Avenue, Alameda, CA is the next entry in this blog.

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