These are rare especially with the way our market has been on the rise as of late, a Mls listing that can potentially bring a great ROI that would you could only imagine. With lots of tender loving care and some major renovations you could rehab this property into a 5 unit gem in the heart of The Annex. Listed as 2 and half storey home right on Bathurst Street and just north of Bloor and only asking 719k for this monster, and I mean monster as this home is huge with 9 bedrooms and 4 baths it is currently being used as a rooming house. There is more potential if it was converted to a true four or fiveplex.
With a budget of 25k per unit will bring anywhere from $1650.00 per month for a 2 bedroom suite and as high as $1200.00 for a 1 bedroom suite. With 3 two bedroom units at those rents and 2 one bedroom units will generate close to $80k a year, that's a cap rate of 8.5%.
The advantages of converting are stability in tenants and if the Reno is done correctly, the home will attract a higher income type bracket of tenants. This is how you successfully achieve a high return on investment, but you also need a great starting block, and that start comes with a reasonable purchase price. Currently homes in The Annex for sale are at a average of just less than 900k and are selling at the asking price or just above due to high demand.
The neighborhood is also so central with great access to TTC and the Bloor Subway line, but it doesn't stop there, the shops and diversity that The Annex provides are other reasons why so many flock here, and having Yorkville so close helps a little to.
Most people that are moving in as tenants are the young professionals who are coming back to Toronto who have left the nest and distance of suburbia, these new urbanites rent before they buy for a few years as they like to move around from neighborhood-to neighborhood. It allows them to scout where they would like to hang their hat when they are ready to sign off on a mortgage.
This house is a great opportunity for the investor that has experience in renovating and understands the in and out of rehabbing a property for the purpose to invest.
P.S. please click the highlighted words to search homes for sale in The Annex