STR in St. Louis, MO - Lafayette Square Neighborhood

[Bennie Williams]

Investment Info:

Single-family residence buy & hold investment in St. Louis.

Purchase price: $153,000
Cash invested: $150,000

This project took about 20 months to complete. It was a full gut of a historic residence so the challenges were great but we brought it to completion. It is currently a short-term rental, used mostly as an AirBNB.

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

I saw an opportunity and decided to go for it. This was absolutely the most challenging thing I've had to accomplish in my entire life so far.

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

This deal was on the MLS. Many investors who looked at this property decided to pass. It was in such horrible shape but the location of this property is amazing. The negotiations went relatively smooth, I offered the asking price and it was accepted.

How did you finance this deal?

My loan broker found a lender that was willing to finance this project.

How did you add value to the deal?

I opened the floor plan and brought everything up to date. This property is about 130 years old and probably hadn't been touched since the 1970's or so. Most of the money was spent repairing and making sure it would meet modern building standards.

What was the outcome?

I decided to hold it long term.

Lessons learned? Challenges?

Too many lessons to list. The overall thing I'd like to say is to keep moving forward no matter what. I learned so many things on this project. I went through three contractors, two plumbers, and two electricians. Everything that could go wrong did, but I feel I can accomplish anything now!

Did you work with any real estate professionals (agents, lenders, etc.) that you'd recommend to others?

Alex Bekeza is the best lender ever!