Duplex with Private Guest
For Sale
$450,000
2804 Arlington Street, Houston, TX 77008
A maintained duplex with two leased homes, including a remodeled main residence and a separate guest house with private yard.
Property Size1,379 SF
Days on Market30
Property Features for 2804 Arlington Street
General Information
Standard status
Active
Size
1,379 SF
Property subtype
Multi Family,Duplex
Occupancy
100%
Additional Details
Highway Access
Yes
Taxes and HOA fees
Annual Taxes
$9,070
Building Details
Building Size
1,379 SF
Year Built
1965
Tenancy
Multi
Listing Agency:
Compass RE Texas, LLC - Houston
(281) 905-2760
Listed By:
Kyla Phung Linn · License #0728223
(281) 905-2760
Source:
Nanproperties
Added: Jul 15
Changed: Aug 8
Last Checked: Aug 12 at 3:09PM
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 Compass RE Texas, LLC - Houston
Investment Insights
Based on property information with market context.
This duplex offers two separate, leased dwellings on one property: a two-bedroom, one-bath main residence and a fully equipped one-bedroom, one-bath guest house. The main home includes fresh updates such as new flooring, a renovated kitchen with quartz countertops and stainless-steel appliances, plus ample storage and a remodeled bathroom. There is an inviting living area and in-home laundry.
The guest house is set up like a true home with its own full kitchen, comfortable living room, independent laundry, and dedicated parking. A gated entrance and private yard support day-to-day privacy and ease of use.
Both homes are currently leased, providing immediate income potential for investors. The property was built in 1965 and is positioned near Heights shops, restaurants, and parks, with proximity to the Houston Farmers Market and Whole Foods, and access to 610 and I-45.
The guest house is set up like a true home with its own full kitchen, comfortable living room, independent laundry, and dedicated parking. A gated entrance and private yard support day-to-day privacy and ease of use.
Both homes are currently leased, providing immediate income potential for investors. The property was built in 1965 and is positioned near Heights shops, restaurants, and parks, with proximity to the Houston Farmers Market and Whole Foods, and access to 610 and I-45.
Key Highlights
- Two leased homes: two‑bedroom, one‑bath main residence plus one‑bedroom, one‑bath guest house
- Renovated kitchen with quartz countertops and stainless‑steel appliances
- Remodeled bathroom and new flooring in the main residence
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
$18,062
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
4.01%
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%
$361,240
$361.2K
Cap Rate 7%
$258,029
$258.0K
Cap Rate 9%
$200,689
$200.7K
Market Conditions
NOI Build-Up for 1,379 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
$27.3K $19.80/SF
− Vacancy
−$1.5K −$1.09/SF
EGI
$25.8K $18.71/SF
− OpEx
−$7.7K −$5.61/SF
NOI
$18.1K $13.10/SF
Area
Houston, TX
Vacancy
5.50%
Lease Rate
$19.80 /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%
$361,240
Cap Rate 7%
$258,029
Cap Rate 9%
$200,689
Alternative Uses
Best Use
Multifamily LT 5
$258.0K
$225.8K – $301.0K
NOI $18,062 @ 7.0% cap · market cap 4.01%
Second Best
Apartment 5plus
$223.2K
$195.3K – $260.4K
NOI $15,623 @ 7.0% cap · market cap 3.47%
Theoretical Best
Office A
$354.6K
$310.3K – $413.7K
NOI $24,822 @ 7.0% cap · market cap 5.52%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Lease Details
100%
Occupancy
Multi-tenant
Tenancy
Yes
Highway access
Location Intelligence
Trade Area within ½ mile
1,563
Businesses Nearby
Explore this area
Business Placement
Demographics for 77008, TX
36,631
Population
20,709
Households
1.8
Avg Household Size
36
Median Age
72%
College-Educated
96%
High-School Grad
6.5 sq mi
ZIP Area
5,636
Density / Sq Mi
$142,414
Median Household Income
$84,642
Median Earnings
$1,567
Median Rent
$609,300
Median Home Value
Market
Vacancy Rate% for Multifamily in South region
Questions? Ask Rey
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Frequently Asked Questions
What type of property is this?
Duplex - A maintained duplex with two leased homes, including a remodeled main residence and a separate guest house with private yard.
Where is this duplex located?
The property is located at 2804 Arlington Street Houston, TX.
What is the asking price?
The asking price for this property is $450,000.
What are key features of this property?
This property features: Two leased homes: two‑bedroom, one‑bath main residence plus one‑bedroom, one‑bath guest house; Renovated kitchen with quartz countertops and stainless‑steel appliances; Remodeled bathroom and new flooring in the main residence
