Property originally listed for sale on the marketplace by Christopher J. Thomas.
Click here to learn more about how third parties sell their properties on the Lofty Marketplace.
The Operating Reserve balance ($4,502) is below full.
Owners voted to apply 50% of cash flow to replenish the reserve until it's full ($5,000).
Based on the projected monthly cash flow ($708.90) assuming $949 in monthly rent, it will take ~1.4 months for the reserve to be full.
The Operating Reserve balance is part of the property value. As a result, the property will increase in value as the Operating Reserve is replenished.
Single Family Home located in St. Louis, Missouri.
Details
- Renovated in Summer/Fall of 2022
- Painted walls, ceilings, and trim
- LVT Flooring
- Updated kitchen with new cabinets, granite countertops, stainless steel appliances, and sink & hardware updates
- Updated bathroom including tub, tile, toilet, and sink/vanity
- Open living and dining space
- Two bedrooms and updated bathroom on main level
- Painted, walkout basement with extra living space and storage
- Quiet street with private backyard
- Built in 1950
Property Management and Insurance
Occupancy Status
Location Data
- 1.5/5 Neighborhood Rating on Roofstock
- "C-" Rating for Zip Code on Niche
Due Diligence Documents
Property Updates
Property Update (09/02/2023):
- The listing had 9 viewings and 0 pending applications in the last 14 days.
- One of the applicants whose application was declined is attempting to resubmit their application with improved supporting documents to accurately reflect their income.
- Their initial application was denied because the income stated did not align with the provided supporting documents.
- The PM reduced the price by 5% to $949.
- Property Listing
Property Update (08/12/2023):
- The listing had 13 viewings and 2 denied applications in the last 7 days.
- The two applications were denied for criminal charges and credit issues.
- The property is listed for rent at $999.
- The PM recommends to hold off on the rent reduction this week due to two applications being received.
- Property Listing
Property Update (08/06/2023):
- The listing had 10 viewings, 6 showings and 0 applications in the last 14 days at $999/month.
- The PM noted the property is struggling to attract attention, with concerns about the neighborhood's appeal.
- The property is listed for rent at $999 and will be reduced to $950 to increase demand.
- Property Listing
Property Update (07/24/2023):
- The listing was waitlisted on 7/14 due to the property break-in.
- The PM secured the windows and removed the waitlist for the property on 7/20.
- The listing had 8 leads, 0 showings, and 0 applications in the last 4 days.
- The PM recommends to extend the leasing incentive from 7/21 to 7/31.
- The incentive is half off first month's rent with a move in date of 8/1.
- The PM will reduce the rent from $1,050 to $999 to increase demand.
- The listing page below takes 24-48 hours to update with the new rent amount.
- Property Listing
Property Update (07/15/2023):
- The PM reported that the property was broken into.
- Damage to the property includes 2 broken windows.
- The property was boarded up immediately on 7/13.
- The PM is working to schedule the window replacements & will likely have to wait list the property until the windows are replaced.
- The listing had 9 viewings & 0 applications in the last 7 days at $1,050/month.
- Property Listing
- Rent Analysis Report
Property Update (07/08/2023):
- The listing had 6 leads, 0 showings, and 0 applications in the last 7 days.
- The PM will add a leasing incentive of half off first month's rent with a move in date of 8/1.
- The target rent is $1,050.
- The leasing incentive will expire on 7/21.
- Property Listing
Property Update (07/01/2023):
- The listing had 0 showings and 0 applications in the last 7 days at $1,099.
- Because no applications have been received, the PM has reduced the rental rate from $1,099 to $1,050.
- Property Listing
Property Update (06/11/2023):
- The listing had 5 showings and 0 applications in the last 7 days at $1,125.
- Because no applications have been received, the PM has reduced the rental rate from $1,125 to $1,099.
- Property Listing
Property Update (05/24/2023):
- The PM completed the walk-through and confirmed the property is ready to be marketed for rent.
- The PM predicts the target rent to be $1,025-$1,125. They will list the property today with a rental rate of $1,125.
Property Update (05/23/2023):
- The PM confirmed that the property passed the city compliance inspection.
- The PM has scheduled a QA inspection on 5/24 to prepare the property for marketing.
- The PM is also re-evaluating current market rents and will provide a target rent after the QA inspection.
Property Update (04/24/2023):
- The Property Manager received the repair estimates for the failed compliance inspection. The repairs will be made immediately.
- Another vendor visited the property earlier this month, but did not return the PM's calls. This caused a delay in the PM receiving repair estimates for the compliance inspection.
- The inspection repairs require changing all the batteries for smoke and CO2 detectors, cleaning the gutters, and landscape maintenance. The total cost of repairs is $625.
- The PM also recommends to repair the leak at the kitchen sink and cleaning the fence line. The total cost is $550.
- The total estimate for the repairs is $1,175.
- This property had $400 added to the Closing Costs for post-closing repairs.
- The Operating Reserve balance after the repairs are completed is $4,283.90
- After these repairs are completed and approved by the city, the PM recommends to start the rental price at $1,050, a $155 increase from the previous rent estimate from the PM.
- Inspection Repairs
Property Update (03/16/2023):
- The property failed an occupancy permit inspection and a copy of the inspection notes are included below.
- The inspector informed the PM that the water heater replacement from 2021 never had a plumbing permit provided, and a permit is needed for the slack that was put in from 2022.
- One permit is needed for the stack and water heater, along with completion of all items on the inspection report before the inspector can come out to re-inspect the property.
- The PM is waiting to get estimates for repairs for the Certificate of Compliance inspection in order to complete rental registration for the property.
- This property had $400 added to the Closing Costs for post-closing repairs.
- After these repairs are completed, the PM recommends to start the rental price at $1,050, a $155 increase from the previous rent estimate from the PM. If rented at this rate, the Cash on Cash Return would increase to 11.9%.
- The PM advises that this will keep the price lower than other 3-bedroom rentals in the area while still being competitive due to the well-finished appearance of the house.
- The two-month rent credit provided by the seller has now ended for this property. Owners will begin receiving daily rent again once a new lease begins.Failed CoC Inspection (PM has reached out to the City to obtain a clearer copy)
Property Update (02/06/2023):
- Now that this property has officially closed with the Title Company, The Property Manager technician has an appointment to obtain keys from the seller's agent and walk the property today.
- The leasing department will pre-list the property today and will create a waiting list in case the technician is delayed for today's visit.
- After reviewing the rent analysis report, the history of comparable rentals, and currently listed homes in the neighborhood, the PM recommends to start the rental price at $1,050, a $155 increase from the previous rent estimate from the PM.
- The PM advises that this will keep the price lower than other 3-bedroom rentals in the area while still being competitive due to the well-finished appearance of the house.
