BRRRR - Buy, Rehab, Rent, Refinance, Repeat
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Updated over 4 years ago on . Most recent reply
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Please : some opinions on my first attempt at a BRRR - Newbie
Hi friends. Newbie here. Reading and reading and trying to soak it all up from all of you.
Need sincere advice on my first investment. Here is the info:
-Foreclosure for $85,000, 3 Bdrm 2 Bath, 1200 Sq feet, Lot 7,000 sq ft, detached 2-car garage,1945 built.
(Roughly $80/sqft price)
-Small town with 12,000 Population. Good schools, nice clean town.
-Taxes $600/year, no HOA
I will put down 20% ( $17,000) and do some basic fixes ( maybe carpet and paint total about $4,000)
Rents appear to average at $900-$950/pm. Snowfall is 60inches annual.
The BP calculator had me at 20% cash on cash and $420 positive cashflow. I assumed a 10% vacancy and 5% repairs. I assumed $3,000 closing costs
My main fear is not being able to rent it.
Would really welcome any feedback, to avoid me getting myself in a mess. ( I also live in another state, so I would need to fly in. I'm hoping to self manage(no prop management company). There is a small Airbnb opportunity due to hunting in the area, but I would think a good long-term renter is the goal.
Thanks in advance.
-Mike