Remodeled Two-Unit
For Sale
$260,000
21 South 3rd Street, Reading, PA 19602
Residential property with separate kitchens, updated electrical service, and a refreshed interior completed in 2025.
Property Size2,158 SF
Price / SF$120.48
Days on Market453
Property Features for 21 South 3rd Street
General Information
Standard status
Active
Size
2,158 SF
Total Parking Spaces
2
Property subtype
Multi-Family / Fee Simple
Zoning
RESIDENTIAL
Units
Unit Mix
1 x 2BR/1BA, 1 x 5BR/1BA
Multifamily Units
2
Taxes and HOA fees
Annual Taxes
$1,411
Amenities
No
Oven/Range - Gas, Refrigerator
Double Pane, Energy Efficient
2nd Kitchen
No Pool
Above Grade, Below Grade
Building Details
Year Built
1898
Year Renovated
2025
Listing Agency:
Springer Realty Group
(610) 209-9219
Listed By:
Peter B Gustis · License #RS295392
(610) 209-9219
Source:
Compass
Added: Jun 6, 2025
Changed: Aug 31
Last Checked: Aug 31 at 9:57PM
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 Springer Realty Group
Investment Insights
Based on property information with market context.
Located at 21 South 3rd Street in Reading, Pennsylvania, this 2,158 SF duplex contains two residential units with a combined seven bedrooms and two full bathrooms. The first unit includes two bedrooms and one bathroom, while the second spans the second and third floors with five bedrooms and one bathroom. Each unit is supported by a kitchen, including a second kitchen within the property.
The interior was comprehensively remodeled in 2025 with luxury vinyl plank flooring, new drywall, and updated kitchens and bathrooms. Additional features include gas oven/range equipment, refrigerators, double-pane energy-efficient windows, and an updated electrical panel. The property is zoned RESIDENTIAL and includes two off-street parking spaces.
The interior was comprehensively remodeled in 2025 with luxury vinyl plank flooring, new drywall, and updated kitchens and bathrooms. Additional features include gas oven/range equipment, refrigerators, double-pane energy-efficient windows, and an updated electrical panel. The property is zoned RESIDENTIAL and includes two off-street parking spaces.
Key Highlights
- Two‑unit duplex with 2,158 SF and 7 total bedrooms
- Unit mix includes 1 - 2 bedroom, 1 bath unit and a 5 bedroom, 1 bathroom unit
- Completely remodeled in 2025 with new flooring, drywall, kitchens, and bathrooms
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
$21,275
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
8.18%
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%
$425,500
$425.5K
Cap Rate 7%
$303,929
$303.9K
Cap Rate 9%
$236,389
$236.4K
Market Conditions
NOI Build-Up for 2,158 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
$31.6K $14.64/SF
− Vacancy
−$1.2K −$0.56/SF
EGI
$30.4K $14.08/SF
− OpEx
−$9.1K −$4.23/SF
NOI
$21.3K $9.86/SF
Area
Berks County, PA
Vacancy
3.80%
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%
$425,500
Cap Rate 7%
$303,929
Cap Rate 9%
$236,389
Alternative Uses
Best Use
Multifamily LT 5
$303.9K
$265.9K – $354.6K
NOI $21,275 @ 7.0% cap · market cap 8.18%
Second Best
Apartment 5plus
$265.6K
$232.4K – $309.9K
NOI $18,595 @ 7.0% cap · market cap 7.15%
Theoretical Best
Office A
$354.3K
$310.0K – $413.3K
NOI $24,798 @ 7.0% cap · market cap 9.54%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Lease Details
2
Residential units
Location Intelligence
Trade Area within ½ mile
2,206
Businesses Nearby
Explore this area
Business Placement
Demographics for 19602, PA
19,782
Population
7,907
Households
2.5
Avg Household Size
32
Median Age
11%
College-Educated
71%
High-School Grad
2.0 sq mi
ZIP Area
9,891
Density / Sq Mi
$38,179
Median Household Income
$30,848
Median Earnings
$978
Median Rent
$73,000
Median Home Value
Market
Vacancy Rate% for Multifamily in Northeast region
Questions? Ask Rey
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Frequently Asked Questions
What type of property is this?
Duplex - Residential property with separate kitchens, updated electrical service, and a refreshed interior completed in 2025.
Where is this duplex located?
The property is located at 21 South 3rd Street Reading, PA.
What is the asking price?
The asking price for this property is $260,000.
What are key features of this property?
This property features: Two‑unit duplex with 2,158 SF and 7 total bedrooms; Unit mix includes 1 - 2 bedroom, 1 bath unit and a 5 bedroom, 1 bathroom unit; Completely remodeled in 2025 with new flooring, drywall, kitchens, and bathrooms
