Rent or sell and start again with experience

[Henry Adewale]

Question, first year investing. I Bought a property for $130,000. Rehab budget was suppose to be $125k, this would fix the main property and build a 600sqft ADU behind it. ARV of both properties in total is 410k. Got played by a contractor, he walked away with $100k and now I have to spend another $140k (all in 240k) on the property (almost done with the main house and about to start on the ADU). Cash flow now will be $800 after vacancy, repair, cap-ex etc, but I would have to leave $100k in the deal, instead of a clean BRRR, At a 9% cap rate. Should I sell for a $20k profit, get my money back with experience and start fresh, or should I just hold it and leave the 100k in there. And move forward with better experience and cash flow. Thoughts?

Breakdown: https://www.biggerpockets.com/calculators/shared/2476945/4cb...

[Julio Gonzalez]

I agree with Andrew on the cost seg study. Here's some FAQs on cost segregation that you may find helpful:

https://www.biggerpockets.com/forums/51/topics/1113749-cost-...