House 950 m², All countries

Profitable house «Ечна» We Offer for sale the profitable house in the center of Prague on Echn Street (Prague 2). The property is in a stage before reconstruction. 6 floor brick house and consisting of 6 Apartments and of 2 rooms under offices and and 4 warehouses. In a property repair and both internal rooms and and a facade is required. Calculation of profitability of the house taking into account costs and crediting from bank: Final project cost and taking into account the minimum repair costs is 847,000 euros. Final project cost and taking into account the maximum repair costs is 1,038,000 euros. To citizens of the CIS there is an opportunity to take the credit in bank for this property and which will make 50% of the final estimated value of a property taking into account invested funds on repair. The rate of mortgage lending of bank is from 2.5% to 5% per annum. Market lease of offices and Apartments in such property and considering its location makes about 15 euros for sq.m of net profit. The total area of rooms and which can be leased is 800 sq.m. Thus and it is possible to count profitability of a property in two options: at the maximum and minimum costs for reconstruction and at an average rate of percentage crediting of bank of 4%. The first option: The total cost of a property is 847,000 euros. Taking into account 50% of a body of the credit of bank and of the means 423,000 euros will be required. Profitability of the house from lease of space is equal to 144,000 euros a year. Annual payment to bank on the credit makes 16,920 euros (at a rate of 4% per annum) Net profit: 144,000 – 16,920 = 127,080 euros a year and that makes 25.4% per annum at invested 423,000 euros the Second option: The total cost of a property is 1,038,000 euros. Taking into account 50% of a body of the credit of bank and of the means 519,000 euros will be required. Profitability of the house from lease of space is equal to 144,000 euros a year. Annual payment to bank on the credit makes 20,760 euros (at a rate of 4% per annum) Net profit: 144,000 – 20,760 = 123,240 euros a year and that makes 23.7% per annum at invested 519,000 euros the Third option (in case of purchase of the house for own means): The total cost of a property is 1,038,000 euros. Profitability of the house from lease of space is equal to 144,000 euros a year. Net profit: 13.8% per annum and at invested 1,038,000 euros. Also and there is a possibility of a superstructure of one more floor in home and permitted by the Prague municipality.