Newbie needs advice...about to close next week.

[Greg G.]

Hello BP fam...I’m about to close on a vacation rental in upstate ny. It’s 3 minutes from a ski resort (gore mtn) in the Adirondacks.

It’s a total fixer upper. It was set up as a mother daughter sort of. There’s no CO or any permits for the extension. The main section of the home is in decent shape and could rent out after a some renovations. However, it’s the second part of the house that needs a complete renovation and has no electrical or plumbing. The square footage is almost the same as the main part of the home.

It was listed as a 4br 1 bath home 1800 sq ft. Not including the extension which is almost the same size in sq footage.

I know they do things very different upstate but I don’t want to make a huge mistake here...

Any advise is appreciated, thank you.

Side note: my plans were to rehab the entire property. Eventually having two spaces to rent to skiers and use for self when not rented. The space could be two separate 4 bedrooms and 2 baths or one entire house rental as an 8 br and 4 bath.

The asking price was 130k and we settled at 80k cash bc of all the renovations needed on the extension.

I planned on getting a renovation loan to do the rehab and then transfer to LLC down the road after the rehab is done.

[Greg G.]

@Paul Welden

The rehab loan will be with Loan Depot...conventional homestyle loan. That’s what my mortgage guy told me it’s called.

The ARV currently looks like 350-400k