4 Unit Renovation Strategy

[Theodore Tasoulas]

Looking for answers from the BP collective brain trust. 

We have a 4 unit for under 100k with rents around $450 each for 3 of 4 units all on month/month leases. All 1BR/1 bath around 550 sq ft. One unit vacant ready to renovate. Apartments are dated with carpets in decent shape, but would need to be updated if current tenants move. Market rents are around $550-600 —about $2,200/month income with strong cash flow. Basic renos (LVP, paint, bath upgrades, appliances) are about $8,500/unit. If we renovate all four, I don't think property would appraise at that amount, so we can't do a BRRRR.

 We are not sure on the best move. Thinking to renovate the 1st unit and then test rental market at $600, and raise the other units to around $500 to 550 depending on how long of a lease they sign, but wary of extra vacancy. 

Any feedback appreciated!