Well after a few misses from earlier tries http://www.thefastlanetomillions.com/real-estate-residential/16126-ready-plunge.html. I finally found a property and have it under contract. In the Jscott model I have named it. I bet you cannot guess what the basement is full of.
Anyway I will include pics shortly, but here is the prop and my exit strategies.
2-3 unit, was a three, previous owner halfway converted to 2.
1 unit is almost ready to rent, 3 bed 1 bath.
other side needs work to go back to 2 unit or finish conversion to one unit.
Needs:
concrete basement
siding
windows
furnace
paint
floors
Kitchen
Bath rehab
wall repairs
maybe more, but that is all I have right now.
Paid: 65k
Fixed value: 130-140k
Rents; 1200-1400/month for all units, trying to be conservative
taxes: 1500
ins.: 500
utilities: one new furnace installed, all paid by tenants
Exit Strategy 1-
Flip on craigslist, offer rent to own as is to an investor fo 85. 10k down 1k a month and they can buy after 1 year. Due to a 1033, I have to wait at least a year.
Exit Strategy 2-
buy and hold. Should cashflow about 350-500/month depending on final rehab costs. I should be able to get a LOC on this for greater than what I put so it should advance my ability to move forward.
Exit Strategy 3
fix and sell at FMV after one year. I should put 30-40k in my pocket.
Exit Strategy 4
Convert to Condos- This one I am the least unsure of. I have talked to an investor who has done this, but I need to get the details. As condos, my profit should jump to 50-60k.
I settle in two weeks and I am laying the groundwork for labor.
Using the hakrak model of using labor ready grunts for a lot of it.
Anyway I will include pics shortly, but here is the prop and my exit strategies.
2-3 unit, was a three, previous owner halfway converted to 2.
1 unit is almost ready to rent, 3 bed 1 bath.
other side needs work to go back to 2 unit or finish conversion to one unit.
Needs:
concrete basement
siding
windows
furnace
paint
floors
Kitchen
Bath rehab
wall repairs
maybe more, but that is all I have right now.
Paid: 65k
Fixed value: 130-140k
Rents; 1200-1400/month for all units, trying to be conservative
taxes: 1500
ins.: 500
utilities: one new furnace installed, all paid by tenants
Exit Strategy 1-
Flip on craigslist, offer rent to own as is to an investor fo 85. 10k down 1k a month and they can buy after 1 year. Due to a 1033, I have to wait at least a year.
Exit Strategy 2-
buy and hold. Should cashflow about 350-500/month depending on final rehab costs. I should be able to get a LOC on this for greater than what I put so it should advance my ability to move forward.
Exit Strategy 3
fix and sell at FMV after one year. I should put 30-40k in my pocket.
Exit Strategy 4
Convert to Condos- This one I am the least unsure of. I have talked to an investor who has done this, but I need to get the details. As condos, my profit should jump to 50-60k.
I settle in two weeks and I am laying the groundwork for labor.
Using the hakrak model of using labor ready grunts for a lot of it.
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Huuf madl nep.
