UTAH REAL ESTATE INVESTOR

This lovely period home has been updated and remodeled multiple times. The recent remodel updated the bathroom, new carpet & paint, heating & A/C, electrical upgrades, and wiring through out the home (with CAT-5 internet wiring to each bedroom).

The home is conveniently located close to the new retail development project (coming soon) in Spanish Fork. It also has easy access to I-15 and Main St. And this home is close to schools.

The list price on this home is $164,900. The seller is open to a convention purchase or various seller financing options. This home is available for immediate occupancy. A first time home buyer could purchase this property with an FHA loan. The buyer would need 3 1/2% down payment ($5,775) and could obtain a 30-year fixed rate loan at 5.5% for a principle and interest payment of $908.75/mo. Plus the first time home buyer can get an $8,000 tax credit if they buy before November 30, 2009.

An investor could buy this home with 20% down payment ($33,000) and get a 30-year fixed rate loan at 6.5% for a principle and interest payment of 749.48/mo. We had previously rented the home for $1,250/mo but at a conservative $1,100/mo the investor would have at least $300/mo in positive cash flow ($3,600/year) which gives more than 10% ROI!

I have listed a home in Pleasant Grove, UT that is an approved short sale. The home owners originally bought this home for about $175,000. According to the lender’s BPO the property is now only worth $150,000. However, the lender has already indicated that they are willing to sell the property for $135,500! A buyer on this property would start of with nearly $15,000 in instant equity. That is absolutely fantastic in this market.

The home has 3 bedrooms, 1 bathroom, 2 family rooms, 1,210 square feet and central A/C. This home is conveniently located with easy access to Main St (Geneva Road), State Street and I-15 (at the new Pleasant Grove exit). It is also located near shopping (including Wal-Mart) and schools.

The lender has approved a price of $135,500. A buyer (who would live there) could get an FHA loan with 3 1/2% down payment ($4,750) and have a 30-year fixed rate loan at 5.5% giving a principal and interest (PI) payment of $742.38. Not only that, as a first time home owner this buyer would also get $8,000 tax credit (refund) next year; that would make the first year’s payments effectively only $75.71/mo!

An investor could buy this property with a 20% down payment ($27,100) and get a 30-year fixed rate loan of 6.5% with a PI payment of $685.16. A 3 bedroom home average rent in Pleasant Grove is $1,000/mo. This gives the home at least $200/mo positive cash flow ($2,400/year) or a 9% ROI on the invested money, not including tax benefits.

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