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Updated 5 months ago,
Should I finish the basement in a Duplex to increase STR Cashflow?
I found a duplex that is a 1/1 on each side. The basements on both sides are unfinished. I can finish both basements and turn both sides into a 2/2, and that would increase the STR cashflow by $700 per side. But in order to do this, I'd need to take on an additional $70K in debt to finance the basement rehab effort. The additional debt for the basement rehab is about $300/month, and it would increase overall STR cashflow by $1400/month.
is this a good idea in your opinion? This is my first time investing. Should I just purchase the property, run it for a year, gain some experience and then finish the basements later on? Do investors usually finish their basements in order to increase cashflow?