Description
This 12-unit community is nestled in the heart of Hobbs, NM and in close proximity to major employers and retail opportunities. Hobbs is a community has made major investments in expanding their quality of living including the addition of the $62 million, 160,000 square foot community center known as the CORE Center for Recreation excellence. Did you know NM is #2 in the country for oil production? Or that this market (Hobbs) is severely underserved for new housing? If you want to help solve the problem plan to attend the Hobbs, NM Housing Summit on August 20th, 2024 info and registration (ask broker) Based on an ask price of $840,000 the current average rents of $594 per month, the property's measures of investment performance include a 9.82 GRM, 6.88% cap rate before reserves, before tax IRR of 20.4% and an after tax IRR of 16.6%. This property is an ideal candidate for renovation/rehabilitation financing from the Ventana Fund (see page 6 for potential loan terms which includes a base interest rate of 5.35%). If rents were raised to an average of $767, the measures of investment performance improve to a 9.08% cap rate, and 14.95% cash on cash. Recent comparable sales indicate an as-is value of $941,638.
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3BEDS
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0.45ACRES
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0BATHS
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01/2 BATHS
School Ratings & Info
Description
This 12-unit community is nestled in the heart of Hobbs, NM and in close proximity to major employers and retail opportunities. Hobbs is a community has made major investments in expanding their quality of living including the addition of the $62 million, 160,000 square foot community center known as the CORE Center for Recreation excellence. Did you know NM is #2 in the country for oil production? Or that this market (Hobbs) is severely underserved for new housing? If you want to help solve the problem plan to attend the Hobbs, NM Housing Summit on August 20th, 2024 info and registration (ask broker) Based on an ask price of $840,000 the current average rents of $594 per month, the property's measures of investment performance include a 9.82 GRM, 6.88% cap rate before reserves, before tax IRR of 20.4% and an after tax IRR of 16.6%. This property is an ideal candidate for renovation/rehabilitation financing from the Ventana Fund (see page 6 for potential loan terms which includes a base interest rate of 5.35%). If rents were raised to an average of $767, the measures of investment performance improve to a 9.08% cap rate, and 14.95% cash on cash. Recent comparable sales indicate an as-is value of $941,638.
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PUBLISHER’S NOTICE: All real estate advertised herein is subject to the Federal Fair Housing Act and the New Mexico Fair Housing Act, which Acts make it illegal to make or publish any advertisement that indicates any preference, limitation, or discrimination based on race, color, religion, sex, handicap, familial status, or national origin. REALTORS® ASSOCIATION OF NEW MEXICO AND THE NEW MEXICO MLS, INC. will not knowingly accept any advertising for real estate that is in violation of the law. All persons are hereby informed that all dwellings advertised are available on an equal opportunity basis.