I wanna share a project I've been working on this year. Last year I bought a 3 unit in the Incline District of Price Hill. Was living in LA at the time but after doing some basic research I felt great about the area. With Covid, remote work now being accepted almost everywhere, I moved to Cinci to work on it while still being able to work my regular freelance gigs. Even though I bought it cash, I still got a hard money loan for the rehab. This building needed a ton of rehab and hard money lenders don't like to lend more than the building is worth.. plus I didn't have much experience flipping. I took the loan knowing I would have to invest a ton of my own money in addition to the hard money but when I ran the numbers it seemed with it. Most of the rehab is done by a good crew that I've found after many issues with other contractors. Some basic stuff I do myself like simple plumbing and electrical work.

The breakdown: Purchase 80k

Rehab so far 150k

Hard money drawn so far 60k

Projected total rehab 210k

Rents:

Attic 2 bedroom unit 1k

2nd floor projected rent 1400

1st floor projected rent 1400

At this point the 3rd floor is finished and being rented out. Very strong rental demand, had no issue finding a tenant at the 1k rent price point. 2nd floor is a month away from being finished. Drywall is up but still needs floors, bathroom, kitchen, doors.. I'd love to remodel the 1st floor unit as well, however its already been a year and I had to extend my hard money loan by 3 months. As soon as the 2nd floor is finished I gotta refinance into a long term loan and hopefully I'd get a good chunk of cash back to fund the 1st floor unit rehab.

It's kind of funny.. After looking at these numbers, maybe after its all said and done, for 300k I could just have bought a rehabbed 3 unit in 2020 and not have spent a year working on this.. but maybe not. I didn't really see any buildings cashflowing this well for sale back then but maybe I'm wrong? Anyway I'm really excited about the area, it's changing every day for the better so I know these rents will only go up.

Even though I'm still working on this building, I'm keeping my eyes on Zillow scouring it for the next project. I'm liking East Walnut Hills or northern OTR.