This large multi-family house is located on a nice street in Mount Pleasant and is just five minutes from Shaker Heights High School, which is one of the best high schools in Cleveland. The property is divided into two large apartments, you have a large two bedroom apartment downstairs and a very large five bedroom apartment upstairs, the property comes with a brand new roof and new furnaces and hot water tanks. One apartment is currently tenant occupied and they are paying $600 in rent each month. The second apartment the management company will be placing brand new tenants when the new owner closes on the property paying $700 in rent each month.
Mount Pleasant is seen as a very strong investment area in Cleveland, less than 1.7 miles away you have the famous Shaker Square which is one of the biggest attractions in Cleveland. Shaker Square is full of restaurants, bars, boutiques and even has a cinema. This property is also only 8 miles from Downtown and 4 miles from the University Circle.
Purchase price: 57,900
Gross annual rental income: $15,600
Property running costs: $3,260
(Tax, insurance and management costs)
Net annual rental income: $12,340
Investment calculation - Net Income divided by Purchase price = NET ROI.
Return on investment: 22%