This Investment Opportunity Provided By
Gentry Lange, Real Estate Broker
Keller Williams, 4552 California Ave SW, Seattle, WA 98116
GentryCameronLange@gmail.com
206.498.3937 – Cell
Property Overview
Address 4541 S Brandon, Seattle, WA 98118
Asking price 625,000.00
Property Stats 3220 Square ft house
6100 Square ft lot
Asking Price 194.10
(per square foot)
Average Price 406.04
(per square ft sold)
Low for Comps 300.52
High for Comps 487.09
(per square ft sold)
Overview:
This property is 4 houses away from my personal home. I know the neighborhood and the rents, and the prices in the neighborhood very well in this area as a realtor. This property needs work, but for the square footage and condition is well worth the effort to either partially, or fully rehab the property and “flip” the unit at a substantial potential profit.
A property in this neighborhood, in this location fully rehabbed, and remodeled. Based on the lowest comp available would sell for
3220*300 = 966,000
3220*487 = 1,568,140
Major known rehab costs:
– Roof 20k
– Major siding rehab 22k-30k, $7-9 per foot, wood rehab and vinyl removal
– 8k dump fees
– Interior 20-50k
– Windows 15-20k
85,000-130,000 total rehab costs.
Strategy 1:
Quick flip, clean property and resell. The property is occupied by a half dozen or more family members, some of whom cannot physically leave the house. With pets, and very very lived in, this is a hard to show property. In and out of foreclosure. Out of foreclosure currently. They are asking nothing, and doing nothing to adequately market the property. There’s at least 100k on the table for a property this size in this location that was fully cleaned, staged and resold, practically as-is with as little work done as possible. Target price $790,000 asking, for a multiple bid situation and escalation to 820-850k. Total investment, less than $20,000.
Strategy 2:
Rehab the property the property fully and go for top dollar. Target price: 966k-1.5 million
Notes and Analysis
The location of the property argues against the possibility of top dollar for this property. No view, and within a quarter mile the neighborhood increases in price to the east. As the property values to the east rise significantly per city block.
The location of this property is in a great location for buyers searching in this market. Columbia Heights is between Columbia City and Hillman City two of the strongest performing neighborhoods not only in the region but nationally, in the past 7 years, in terms of appreciation. From 2012 onward, the impact of the Light Rail on these neighborhoods has significantly increased home values in the neighborhood. Easily doubling the value of many properties in this area. Rents have actually increased at a greater rate than property values.
99 people move to Seattle daily. This is a great location and great price for a rehab project. Currently the Seattle market has very few listings, extrememly low volume, and prices are increasing quickly with lots of multiple offer situations returning to the norm.
Currently the seller’s agent says they have a cash offer of 600,000 in hand as of last night, with a Monday deadline for review. The agent has also conveyed that the property had 6 previous offers, 1 of which was accepted and countered. Then fell apart.
The agent also conveyed that they have been working with the property owner for a long time through the owner’s attorney. That their analysis has shown 175,000 in needed repairs. My own estimate at 130,000 is considering perhaps less rehab costs than they are envisioning. I will continue to investigate this property to determine where their numbers and mine currently differ.
* Please see the attached documents for source information and the full listing attached.
* All information provided is deemed reliable but is not guaranteed and should be independently verified. Properties subject to prior sale or rental.
Property Photos:
Market Comparative Property Analysis
Original Listing
This Web Page in Print Form
Property Overview and Opportunity Analysis – Google Docs
NWP Realty.com 