Investment Summary
5916 Lakepointe is part of the 29 Pack Portfolio acquired in 2025, with a standardized purchase price of $52,000 and a total projected basis of approximately $60,000 after closing costs and planned capital expenditures.
It is noted here that the existing rent of $600/mo. is below market for this house. We expect to be able to raise the rent to $850/mo, and while this is still below full market potential, the property is expected to cash flow at approximately 9% cash-on-cash return assuming first-year full occupancy.
The tenant is stable but because they may be unable to remain in the property if rents are increased too aggressively too quickly, we plan to take a measured approach by targeting $850/month and then reassessing timing for any further increases.
We like the location, the house, and the condition that it is in, and believe the equity capture of 25% alone is worth the acquisition.
Property Overview
The property is a three-bedroom, one-bath single-family home with approximately 939 square feet. It features a functional layout suitable for long-term tenants. Key systems such as the furnace and water tank are in solid working condition.
Attractive Location
- Location:Morningside neighborhood, near East English Village
- Close to the Henry Ford St. John Hospital (10 mins)
- Near established suburban amenities such as the Country Club of Detroit and Grosse Pointe Equestrian
- Convenient access to E Warren Street (5 mins) for many shopping options
Market Insights
Surrounding home values are approaching ~$100,000, with comparable nearby sales at $87,000 and $110,000.
Overall, the property is well-positioned within an established mostly-brick residential area supported by nearby employment centers, strong local amenities, and consistent rental demand. The combination of accessibility and surrounding market values reinforces both occupancy stability and long-term appreciation potential.
Comps
- 5267 N THREE MILE Drive Detroit, MI 48224-2641: Sold for $110,000
- 5200 WAYBURN Street Detroit, MI 48224-3037: Sold for $87,000
These comparable valuations reflect properties that are renovated to market-ready condition.