Investment Summary
Looking for a fresh start in LA? Welcome to 3127 W 60th St, a stylish two-unit duplex nestled in the vibrant and culturally rich View Park-Windsor Hills! This entirely vacant property is ready for two lucky buyers to claim their slice of Los Angeles.
The front home is a beautifully remodeled 3-bed/2-bath charmer, while the rear unit is a brand-new 3-bed/3-bath modern build. Perfect for a TIC (Tenants in Common) purchase, where each buyer gets exclusive rights to their own private home.
Get Your REAP (Real Estate Action Plan) Started
Ready to turn your real estate dreams into reality? With Michael Abraham and my team. We’ll help you build your personalized Real Estate Action Plan (REAP). Together, we’ll define your goals, set a realistic budget, establish a clear timeline, and pinpoint your ideal location.
Whether you're buying your first home, investing in income property, or exploring a TIC opportunity, we’ll create a step-by-step strategy to guide you from vision to ownership — with clarity, confidence, and results.
Property Analysis
List Price for Entire Duplex: $998,800
Cost Per Unit: $499,400
Total Units: 2 (3 bed/2 bath + 3 bed/3 bath)
Total Investment Cost Per Buyer (Per Unit Ownership)
Purchase Price: $499,400
Down Payment (20%): $99,880
Estimated Closing Costs (3%): $14,982
Renovation Costs (Minimal): $12,500
Total Cash Investment: $127,362
Estimated Monthly Carrying Costs (PITI + Maintenance)
Mortgage (6.5%, 30-year fixed): ~$2,522
Property Taxes (~1.25%): ~$520
Homeowners Insurance: ~$100
Maintenance Reserve: ~$100
HOA/Shared Costs (if applicable): ~$50
Total Estimated Monthly Payment (PITI + Maintenance): ~$3,292
Recommendation: Formalize shared maintenance agreements for roof, foundation, and landscaping if applicable.
Rental Income Analysis
Front (3/2 Remodeled) Market Rent Estimate: ~$3,500/mo (TIC Owner 1)
Rear (3/3 New Construction) Market Rent Estimate: ~$3,800/mo (TIC Owner 2)
Total Market Rent: ~$7,300/mo
Recommendation: Each owner could rent out their Unit at or above breakeven, providing flexibility if needed.
ROI & Projections (Real Estate Investment)
Assuming 7% annual property appreciation and 2% annual rent increases:
5 Years: Projected Sale Price: ~$701,755 | Loan Balance: ~$381,000 | Net Proceeds: ~$290,000 | Total ROI: ~228%
10 Years: Projected Sale Price: ~$985,139 | Loan Balance: ~$337,000 | Net Proceeds: ~$648,000 | Total ROI: ~508%
Key Investment Metrics Per Buyer
Cash Flow Year 1: ~$208/mo
Cash-on-Cash Return Year 1: ~2.0%
Cap Rate Year 1: ~7.0%
DSCR Year 1: ~1.22
GRM: ~11.3
ROI: ~228% (5 years) | ~508% (10 years)
Recommendation: Positive cash flow improves with time; DSCR above 1.2 is favorable for financing.
Exit Strategies
Sell individual units: Each TIC member can sell separately.
Cash-out refinances: After appreciation.
Short-term rental: Evaluate local regulations for Airbnb potential.
Investment Rating: A (Very Strong Buy for TIC Structure)
Strengths:
Individual unit ownership.
Immediate occupancy or rental.
High rental demand and strong appreciation potential.
Risks:
TIC financing complexities.
TIC resale liquidity considerations.
Alternative Investment Comparison: S&P 500 Index Fund
Scenario:
Invest $127,362 into an S&P 500 index fund averaging 8% annual returns after inflation.
Continue paying ~$3,500/mo in Rent.
5-Year Comparison:
S&P 500 Portfolio Value: ~$187,000
Cumulative Rent Paid: ~$210,000
Net Gain/Loss: ~($23,000) Loss
10-Year Comparison:
S&P 500 Portfolio Value: ~$276,000
Cumulative Rent Paid: ~$420,000
Net Gain/Loss: ~($144,000) Loss
Key Insight: Despite healthy investment returns, paying Rent significantly erodes wealth compared to owning the Unit.
Recommendation: Ownership through TIC, despite upfront complexity, provides greater long-term financial benefits than renting and investing separately.
Final Word
Buying 3127 W 60th St as a TIC, with each member owning a 3-bedroom home, is a rare opportunity to build independent wealth in a growing Los Angeles neighborhood. Ownership offers substantial long-term financial advantages over renting and investing in stocks.
Would you be interested in full pro formas, lender options for TICs, or sample TIC agreements? Let's connect!