I’ve been showing a lot of duplexes lately, and I think I’ve noticed a trend. Duplex owners everywhere seem content losing money.
Nobody seems to have coin-operated washers and dryers any more.
I suppose it could be argued that with just two units, there’s no point in the hassle. Or, if the building is owner-occupied, why bother with the keys and the coins for just the one?
Because each unit can be worth $20-25/month in additional revenue; which is about enough to cover the water bill for that tenant’s unit. And while I don’t have any scientific data to back me up, I’ll bet people do more and smaller loads of laundry if they don’t have to pay for it.
Not to mention that $25- $50 a month times 12 months of laundry equals additional annual income of $300-$600. If area properties are selling at an average of 10 times their gross annual rent, laundry income can represent added value in a list price of $3000-$6000.
If you’re buying a building without appliances, coin operated units aren’t hard to find. Check the Yellow Pages or call me and I’ll help you track one down.
You’ll get your investment back before the spin cycle.