Two-Unit Duplex with Separate
For Sale
$225,000
1486 Montgomery Ave, Muskegon, MI 49441
Updated duplex near Muskegon Lake with distinct access, covered outdoor areas, and one occupied unit.
Property Size1,836 SF
Price / SF$122.55
Days on Market21
Property Features for 1486 Montgomery Ave
General Information
Standard status
Active
Size
1,836 SF
Property subtype
Multi-Family
Building Details
Year Built
1940
Listing Agency:
Real Estate West
Listed By:
Thomas A Serio · License #6502431119
(231) 286-0102
Source:
Vmrealestatemichigan
Added: Aug 26
Changed: Sep 9
Last Checked: Sep 14 at 12:03PM
Displayed information is deemed reliable but is not guaranteed and should be independently verified. All listing content including descriptions, pricing, images are the copyrighted material of Real Estate West
Investment Insights
Based on property information with market context.
Built in 1940, this duplex contains two separate residential units with distinct access arrangements. The main-level residence includes two bedrooms, one bathroom, a spacious layout, mudroom, covered porch, basement access, and kitchen laundry hookups. The upper residence has 1+ bedrooms, one bathroom, a private entrance, separate driveway, deck, and covered exterior staircase.
Recent work includes new electrical panels, meters, and masts for both units, along with fresh interior paint throughout. Unit 1 also received a high-efficiency furnace, power-vent water heater, and new vinyl plank flooring in the kitchen and bathroom. The main-level unit is occupied, while the upper unit has been refreshed and is prepared for occupancy. The property is near Muskegon Lake and has a Walk Score of 46 and Bike Score of 38.
Recent work includes new electrical panels, meters, and masts for both units, along with fresh interior paint throughout. Unit 1 also received a high-efficiency furnace, power-vent water heater, and new vinyl plank flooring in the kitchen and bathroom. The main-level unit is occupied, while the upper unit has been refreshed and is prepared for occupancy. The property is near Muskegon Lake and has a Walk Score of 46 and Bike Score of 38.
Key Highlights
- Two‑unit duplex near Muskegon Lake
- Main‑floor unit offers 2 bedrooms and 1 bathroom
- Upper unit has 1+ bedrooms and 1 bathroom
Financial Insights
Estimated NOI and Cap Rate
NOI = area × lease_rate × (100 − vacancy) / 100 × (1 − expense_ratio). Net Operating Income — what the owner takes home each year before mortgage payments and income tax. Effective rent (asking rent minus vacancy losses) minus operating costs (taxes, insurance, maintenance, management).
NOI / Yr
$17,814
Cap rate = NOI / list price × 100. Capitalization rate — annual return on a fully cash purchase, before financing. NOI divided by price. Higher means more income per dollar invested, but usually also more risk or older condition. 5–8% is typical for stabilized commercial property; double digits often signal distressed deals.
Cap Rate
7.92%
Suggested Prices Based on Cap Rates
Cap rates vary significantly by property type, market, and asset quality.
Typical U.S. stable-market ranges:
Multifamily — 4.5% to 6.5% (Class A in primary markets often sub-5%; Class C in secondary markets 6%+)
Industrial / Logistics — 5.0% to 7.0% (compressed heavily in recent years due to e-commerce demand)
Office — 6.5% to 9%+ (wide spread post-2020; CBD Class A vs. suburban Class B varies dramatically)
Retail — 5.5% to 8.5% (grocery-anchored on the low end, unanchored strip centers higher)
Hospitality / Hotels — 7.5% to 10%+ (higher due to operational risk)
Self-Storage — 5.5% to 7.5%
Medical Office — 6.0% to 7.5%
Net Lease (single tenant, credit) — 5.0% to 7.0% depending on tenant credit and lease term
Rules of thumb:
Primary markets (NYC, SF, LA, Boston, DC) trade at lower cap rates than secondary/tertiary markets, often by 100–200 bps (bps, aka basis points; 1 bp = 0.01%).
Class A assets trade ~50–150 bps tighter than Class B, and Class B tighter than Class C.
Cap rates move inversely with price — a lower cap rate means a higher price for the same NOI.
Spread to the 10-year Treasury is a common benchmark; historically 200–400 bps over the 10-year.
Cap Rate 5%
$356,280
$356.3K
Cap Rate 7%
$254,486
$254.5K
Cap Rate 9%
$197,933
$197.9K
Market Conditions
NOI Build-Up for 1,836 SF
Vacancy — income lost from leasable area expected to sit empty during the year, subtracted from gross rent.
EGI (Effective Gross Income) — gross rent minus vacancy losses, the realistic income before paying operating costs.
OpEx (Operating Expenses) — recurring costs to operate the property (property tax, insurance, utilities, maintenance, management); excludes financing and capital improvements.
NOI (Net Operating Income) — income a property generates after operating costs but before financing and taxes.
Gross rent
$26.9K $14.64/SF
− Vacancy
−$1.4K −$0.78/SF
EGI
$25.4K $13.86/SF
− OpEx
−$7.6K −$4.16/SF
NOI
$17.8K $9.70/SF
Area
Muskegon County, MI
Vacancy
5.32%
Lease Rate
$14.64 /SF/Yr
Expense Ratio
30.00%
Simulate Cap Rate and NOI
Suggested Prices Based on Cap Rates
Cap rates vary significantly by property type, market, and asset quality.
Typical U.S. stable-market ranges:
Multifamily — 4.5% to 6.5% (Class A in primary markets often sub-5%; Class C in secondary markets 6%+)
Industrial / Logistics — 5.0% to 7.0% (compressed heavily in recent years due to e-commerce demand)
Office — 6.5% to 9%+ (wide spread post-2020; CBD Class A vs. suburban Class B varies dramatically)
Retail — 5.5% to 8.5% (grocery-anchored on the low end, unanchored strip centers higher)
Hospitality / Hotels — 7.5% to 10%+ (higher due to operational risk)
Self-Storage — 5.5% to 7.5%
Medical Office — 6.0% to 7.5%
Net Lease (single tenant, credit) — 5.0% to 7.0% depending on tenant credit and lease term
Rules of thumb:
Primary markets (NYC, SF, LA, Boston, DC) trade at lower cap rates than secondary/tertiary markets, often by 100–200 bps (bps, aka basis points; 1 bp = 0.01%).
Class A assets trade ~50–150 bps tighter than Class B, and Class B tighter than Class C.
Cap rates move inversely with price — a lower cap rate means a higher price for the same NOI.
Spread to the 10-year Treasury is a common benchmark; historically 200–400 bps over the 10-year.
Cap Rate 5%
$356,280
Cap Rate 7%
$254,486
Cap Rate 9%
$197,933
Alternative Uses
Best Use
Multifamily LT 5
$254.5K
$222.7K – $296.9K
NOI $17,814 @ 7.0% cap · market cap 7.92%
Second Best
Apartment 5plus
$227.1K
$198.8K – $265.0K
NOI $15,900 @ 7.0% cap · market cap 7.07%
Theoretical Best
Hotel Hospitality
$17.24M
$15.09M – $20.12M
NOI $1,206,936 @ 7.0% cap · market cap 536.42%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
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Current Use
Location Intelligence
Trade Area within ½ mile
174
Businesses Nearby
Explore this area
Business Placement
Demographics for 49441, MI
36,886
Population
16,491
Households
2.2
Avg Household Size
43
Median Age
28%
College-Educated
94%
High-School Grad
21.7 sq mi
ZIP Area
1,700
Density / Sq Mi
$65,235
Median Household Income
$38,132
Median Earnings
$1,080
Median Rent
$194,000
Median Home Value
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Market
Vacancy Rate% for Multifamily in Midwest region
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Frequently Asked Questions
What type of property is this?
Duplex - Updated duplex near Muskegon Lake with distinct access, covered outdoor areas, and one occupied unit.
Where is this duplex located?
The property is located at 1486 Montgomery Ave Muskegon, MI.
What is the asking price?
The asking price for this property is $225,000.
What are key features of this property?
This property features: Two‑unit duplex near Muskegon Lake; Main‑floor unit offers 2 bedrooms and 1 bathroom; Upper unit has 1+ bedrooms and 1 bathroom
