8 Bedroom House in Secunda

Category: Multi-Dwelling Investment Property Residential Income Property

INVESTMENT PROPERTY SUMMARY

Rental Units & Income

Main House

3 Bedrooms

2 Bathrooms

Spacious lounge

Kitchen

Carport for 2 vehicles

Current Rental Income: R8,000 pm

Unit 2 Two-Bedroom Flat

2 Bedrooms

1 Bathroom

Open-plan kitchen and lounge

Electricity via sub-meter

Current Rental Income: R6,900 pm

Unit 3 One-Bedroom Flat

1 Bedroom

1 Bathroom

Open-plan kitchen and lounge

Own electricity sub-meter

Rental Income: R7,990 pm - Fully Furnished not included in the purchase

Units 4 & 5 Two Bachelor Flats

Private kitchenette in each unit

Each unit has its own electricity sub-meter

Combined Rental Income: R6,800 pm

Total Rental Income

R8,000 R6,900 R7,990 R6,800 R29,690 per month

Potential Annual Gross Rental Income: R356,280

Electricity & Metering

Owner currently purchases approximately R4,000 electricity per month through the main meter.

Units 1 & 2 share a sub-meter.

Unit 3: Own sub-meter.

Unit 4: Own sub-meter.

Unit 5: Own sub-meter.

Tenant electricity usage is collected through Citiq Prepaid and refunded to the owner monthly.

This means the approximately R4,000 electricity purchase should not simply be treated as a R4,000 monthly operating expense, as tenant electricity payments are recoveredrefunded.

Water

Water is currently included in the tenants'' rent.

Each lease contains a clause allowing the owner to install prepaid water meters for the individual units.

A new owner therefore has the option of installing prepaid water meters, which could reduce the property''s monthly running costs and place water consumption directly with the tenants.

Maintenance to Be Completed by Current Owner

Unit 3

Bedroom access door to be replaced.

Geyser replacement has been approved by insurance and will be completed.

Unit 4

2 kitchen cupboard doors to be replaced.

Bathroom ceiling to be painted.

Black bedroom cupboard handles to be fitted already purchased.

Main House

Bathroom areaceiling to be painted.

Drainage pipes across most of the property have already been replaced.

A large exterior solar light has already been purchased and still needs to be installed.