Second BRRRR done. Third BRRRR is ongoing.

[Randy Wiley]

Investment Info:

Single-family residence buy & hold investment.

Purchase price: $38,155
Cash invested: $40,000

My wife and I bought this house. For 38,155 it was a HUD home and we had to live in it for a year before we can move and rent it out. We added a bathroom reconfigured the layout of the house. Updated kitchen, with all high-end material. We added a second bathroom also with high-end material too. All the work was done by just the two of us. Then we updated the furnace added AC. We also did the water heater and the roof. Here are the numbers. Purchase price 38,155, 40,000 for all updates and labor. All in 78,155. We then went to the bank to ask for another HELOC. We had the house appraised and the appraisal came back at 140,000. We then paid off the first HELOC on our first home (65,000), which is now a rental and cash flowing 600 dollars. We then bought another off-market deal for 30,000, and we are currently renovating. We should be done in two weeks.
Let me know your thoughts.

What made you interested in investing in this type of deal?

Long term goals.

How did you find this deal and how did you negotiate it?

HUD Home

How did you finance this deal?

BRRRR from primary house.

How did you add value to the deal?

Force equity

What was the outcome?

140,000 HELOC. To buy our third house.

Lessons learned? Challenges?

Ask questions