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2537 Sierra Street Torrance, CA 90503

4 Beds 2 Baths 1,852 sqft Built 1951

$1,005,000

List Price

$3,600

$3.4K - $3.9K

Rent Est.

PROPERTY INFO

SINGLE-FAMILY
March 20, 2021 RECENTLY ADDED
FACTS
  • Single Family
  • Built In 1951
  • Price/Sqft : $542.66
  • 2 Days on Market
  • MLS # : PW21056879
  • Updated Date : 03/20/2021 at 05:04
CONSTRUCTION
  • Beds : 4
  • Floor Size : 1,852 sqft
  • Baths : 2 full
Listing Agent

New Star Realty & Investment

Listing Agent's Description

Welcome to this charming 6 bed, 2 full bath home on a beautiful and quiet neighborhood located in the highly desirable "Torrance Gardens". This property features 1852 soft. of living spaces, 6 bedrooms (tax record shows as 4 bedrooms), two full bathrooms, a living room, a fireplace, inside laundry area and 2 yr. new water heater. Master bedroom (converted to two bedrooms) towards the back of the property is owner occupied. Please see attached floor plan for the whole house. Huge master bedroom was converted to two bedrooms and kitchenette without a permit, The two car garage has been converted into a den/office without a permit, but could be easily converted back into an original condition. Located in the Torrance Unified School District and close to shopping, restaurants, and local parks. Please enjoy watching this YouTube. https://youtu.be/-vAOcyZtMGA

SEE MORE

MARKET HIGHLIGHTS

  • Southern California's economy is worth $1.58 trillion in Gross Metro Product and projected to grow to $1.67 trillion (USMayors.org, 2018)
  • Headquarters to several Fortune 500 companies: Amgen, Farmers Insurance, Walt Disney, Avery Dennison, Activision Blizzard, CBRE Group, Edison International, Molina Healthcare, First American Financial, Pacific Life, Qualcomm and Sempra Energy (Fortune, 2018)
  • Southern California area contributes to 55.3% of California state economy i.e. Gross State Product (USMayors.org, 2018)
  • Southern California has 58.7% labor force participation rate; within this area, Los Angeles metro has 62.3% labor force participation rate (USMayors.org, 2018)
  • As part of Southern California area, Los Angeles market inherits all the benefits from the area.
  • Los Angeles has been awarded the 2028 Olympics under a funding commitment of $88 billion to upgrade the transportation infrastructure connecting disparate pockets of the metro area. This is expected to produce additional employment in the coming years. (BCG, 2018)
  • The area has major technology nodes of excellence: Los Angeles (Media and entertainment); Pasadena (High-tech engineering, data analytics); Riverside (Agtech, transportation/ distribution); San Diego (Healthcare, biotech, wireless communications); Irvine (Medtech, cyber security); El Segundo (Aerospace and defense IT, space transport) [BCG, 2018]
  • Southern California produces more technology PhDs per year than any other region in the country and many of the higher educated students stay within Souther California contributing to readily available workforce skills making the area more attractive than Silicon Valley (BCG, 2018)

PRICE & RENT TRENDS

Neighborhood: Madrona

NeighborhoodNIR Market*CityMarket2010Year20002019200k250k300k350k400k450k500k550k600k650k700k750k800k850kPrice in $199k856k

* NIR Market: Aggregated price or rent trend of all neighborhoods with same NIR

Neighborhood: Madrona

NeighborhoodNIR Market*CityMarket2010Year2000 Q42019 Q21800200022002400260028003000320034003600Rent in $17843697

* NIR Market: Aggregated price or rent trend of all neighborhoods with same NIR

SCHOOLS

NAME EDUCATIONAL LEVEL SCHOOL TYPE # OF STUDENTS # OF TEACHERS GREATSCHOOLS RATING
Fern Elementary School Primary Regular 577 22 7
Madrona Middle School Middle Regular 690 24 7
Torrance High School High Regular 2,113 78 9

Fern Elementary School

  • Education Level: Primary
  • # of students: 577
  • # of teachers: 22
7
GreatSchools Rating

Madrona Middle School

  • Education Level: Middle
  • # of students: 690
  • # of teachers: 24
7
GreatSchools Rating

Torrance High School

  • Education Level: High
  • # of students: 2,113
  • # of teachers: 78
9
GreatSchools Rating
 

$904,500$1,105,500$1,005,000

PURCHASE PRICE

$3,240$3,960$3,600

RENT

DOWN PAYMENT
FINANCING

FINANCIALS

PROJECTED BASIC MONTHLY INCOME STATEMENT

INCOME Rent $3,600
EXPENSES Loan Payment -$3,491
Property Tax -$974
Property Insurance -$72
Property Management Fees -$176
CASH FLOW
-$1,113

This is the estimated cash flow generated during a typical maintenance-free month. It is recommended that investors set aside 13% of earned rent to cover both maintenance and periods of vacancy.

$1,005,000

PROJECTED PRICE

$3,600

PROJECTED RENT

0.36%

PROJECTED RENT / PRICE RATIO

ASSUMPTIONS

Expense Inflation 2.50%
Rental Growth Year (1-5) 4.56%
Appreciation Year (1-5) 7.2%
Maintenance Year (1-5) 8.00%
Vacancy 5.05%
Length of Stay Years 2

PROJECTED ACCUMULATED WEALTH

30 YEAR PROJECTION

  • Cash Flow
  • Appreciation
  • Principal
11530$0.0$500k$1.0M$1.5M$2.0M$2.5M$3.0M

PROJECTED ANNUAL CASH FLOW

11530-$20k-$15k-$10k-$5.0k$0.0$5.0k$10k$15k$20k

PROJECTED PROPERTY VALUE

30 YEAR PROJECTION

  • Appreciation
  • Principal
  • Loan Balance
11530$0.0$500k$1.0M$1.5M$2.0M$2.5M$3.0M

TOTAL CASH OUT OF POCKET

TOTAL OUT OFPOCKET$272,075

INVESTMENT

$272,075

Down Payment
$251,250
Rehab Estimate
$5,750
Closing Costs
$15,075

LOAN DETAILS

25%

DOWN PAYMENT

HOMEUNION RECOMMENDS:

A 65% down payment or higher enables the proceeds from the asset to cover all costs.

$3,491

MONTHLY LOAN PAYMENT

30 yr
Term
3.75%
Interest
25.00%
Down Payment
Term 30 Years
Interest 3.75%
Down Payment $251,250
Loan Amount $753,750
See What Happens When You Reinvest Cash Flow

0.92

YEARS SAVED

$3,863

INTEREST SAVED

CASH FLOW REINVESTMENT

The time & interest saved by applying each month's positive cash flow towards loan principal pay down.

  • $3,600

    LIST RENT
  • $1.94

    LIST RENT PER SQFT
  • $3,940

    COMP ESTIMATED VALUE
  • $2.13

    COMP AVG. RENT PER SQFT
Comps Range
$3,300
1$3,3002$3,5003$3,6004$3,6505$3,800
$3,800
RENT COMPS ANALYSIS
  • 2537 Sierra Street Torrance, CA 3
    • 4 beds 2 baths ∙ 1,852 Sqft ∙ Built 1951 4 beds 2 baths ∙ 1,852 Sqft ∙ Built 1951
    • Rent
    • Rent Per SQFT
    •  
    • $3,600
    • $1.94
    •  
  • 2435 Andreo Avenue Avenue Torrance, CA 1
    • 3 beds 2 baths ∙ 1,554 Sqft ∙ Built 1941 3 beds 2 baths ∙ 1,554 Sqft ∙ Built 1941
    LEASED 11/30/20
    • Rent
    • Rent Per SQFT
    •  
    • $3,300
    • $2.12
    •  
  • 22823 Date Ave Torrance, CA 2
    • 4 beds 1 baths ∙ 1,632 Sqft ∙ Built 1960 4 beds 1 baths ∙ 1,632 Sqft ∙ Built 1960
    LEASED 08/02/20
    • Rent
    • Rent Per SQFT
    •  
    • $3,500
    • $2.14
    •  
  • 2822 Onrado Street Torrance, CA 4
    • 3 beds 2 baths ∙ 1,719 Sqft ∙ Built 1951 3 beds 2 baths ∙ 1,719 Sqft ∙ Built 1951
    LEASED 06/26/20
    • Rent
    • Rent Per SQFT
    •  
    • $3,650
    • $2.12
    •  
  • 3114 Sonoma Street Torrance, CA 5
    • 4 beds 2 baths ∙ 1,786 Sqft ∙ Built 1955 4 beds 2 baths ∙ 1,786 Sqft ∙ Built 1955
    LEASED 02/15/20
    • Rent
    • Rent Per SQFT
    •  
    • $3,800
    • $2.13
    •  
PROPERTY LISTING DETAILS
Sophia Chang
New Star Realty & Investment
Darryl John Willis
1.866.250.5610
HomeUnion.com
Lic. BRE# 01526904
California Regional Multiple Listing Service ( CRMLS)
MLS #: PW21056879
Last Updated: 03/20/2021
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