Value Add STR Townhouse

[George Mevawala]

Investment Info:

Single-family residence buy & hold investment in Scottsdale.

Purchase price: $171,000
Cash invested: 70,000
Sale price: $435,000

Value add 2 bed/1 bath townhouse where we added an additional half bathroom downstairs. The unit has just been totally remodeled with over $35k spent on features including all new furnishings, paint, new stainless steel appliances, roof, new kitchen, cabinets, new electrical lighting throughout, new light up vanity mirrors in bathrooms, new washer & dryer, and new flooring throughout.

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

The upside potential

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

It came on MLS, and I negotiated the deal directly as the buyers agent for myself.

How did you finance this deal?

Conventional financing with 20% down

How did you add value to the deal?

Complete remodel and brand new furnishing.

What was the outcome?

It was a successful STR property for over 3 years. I was able to sell the property for 435k and was very happy with the outcome.

Lessons learned? Challenges?

I learned to get multiple bids from contractors and that not every project is going to be completed on time.

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

Yes- I was the buyers agent, and my lender Andrew Narsi came through with the financing.