The team was able to make a great opportunity out of this property through its strategic partnership with its sister company, Own It Detroit – Mutual Property Management, LLC, who has managed this property for a long distance investor for a long time.
The property in the Harmony Village neighborhood, close to great suburban amenities such as DMC Sinai Grace Hospital (3 mins) and Home Depot (5 mins) .
This low-maintenance tenant has been in this property since 2018 and does not wish to leave. She agreed to a rent increase to $800 post-closing.
The recommended play is to buy it as-is for cash, and do nothing. Let the tenant stay for as long as possible with small increases in rent over time, and eventually it would make a great flip because the area has great growth potential, and nearby comparables are available at about $125,000 for this gem.
- Acquisition Date: August 14, 2024
- Acquisition Price: $80,000
- Capital Expenditures (CapEx): minimal, currently rented
- Comparables: Up to $125,000. Comp 1, $125,400. Comp 2, $115,000.
- Current Rent: $663
- Immediate Rent Increase to: $800
- Cash-on-cash return on total intial cost: 7.8%
The tenants keep the property in good condition; we will defer from showing all of the internal photos out of privacy concerns, but the below peek of one room gives our investors a representative idea of the condition of the property.
================== Update in September 2025
Zillow, which does not factor in the internal conditions of a given property, shows the Zestimate of this property to be at $126,000 in September 2025, which likely shows a lot of positive activities within the area.
We still believe that there will be capital expenditure necessary in order to update the property to the condition that are being shown in comparable sales, so we will refrain from giving a firm equity growth estimate, but the location which is close to the 8 Mile Road, and all the nearby resale activities point to the likelihood that we have purchased the property at a substantial discount.