Beach STR to Condo Flip - North Myrtle Beach

[Shane Lafleur]

Investment Info:

Condo other investment in North Myrtle Beach.

Purchase price: $311,000
Cash invested: $70,000
Sale price: $455,000

3 Bedrooms | 2.5 Bathrooms | 1150 sqft
2nd Floor | Lowrise Condominium | Beachside with Oceanviews throughout
Single level | Primary Ensuite | 2nd Bedroom with private water closet | Full Main bathroom
Private Laundry
Central Air Heat Pump
Fully Furnished (Outdated)
Private Balcony off living room (screened in) and Primary ensuite
Purchased as is - Outdated and needed Renovated
Tilghman Beach and Racquet Club Association

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

We wanted a place we visited often so we understood the market and the attraction. Also so we could utilize the 10% down second home loan. We settled on North Myrtle Beach as our market first then started looking at what we could afford and how to maximize that. We could afford up to a 3 maybe 4 bedroom condo on the water, mostly not turnkey or outdated. We knew we could add our own flair and style to the unit to really bring in traffic for the type of unit in that market.

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

MLS. We had a real estate agent show us properties in our price range with a preapproval letter.

How did you finance this deal?

Second Home Loan

How did you add value to the deal?

We renovated the property and provided new furnishings.
We fully renovated the kitchen, floors, and bathrooms.
New interior paint throughout.
Self managed the short term rental side of the operations.

What was the outcome?

We fully furnished the property after renovations and started renting the unit out starting in April. We got bookings instantly and self managed the property through the busy summer season. We ended up changing cleaners throughout. Our handyman was super helpful with issues and repairs between bookings, sometimes same day turnovers.

Lessons learned? Challenges?

Great learning experience as my wife and I learned the renovation process, how contractors work, timelines and materials processes. Learned the self management of STR, with applications, the management of cleaners and handyman.
Learned that having resources and multiple connections for roles in the process are crucial in case someone cannot perform. Hospitality business is simple but stressful at the same time. Also, financially we learned that we may have put too much money in the deal.

[Shane Lafleur]

Hey @Myrtle Mike Thompson!

Yes I used Silverton Mortgage, locally. They had a good knowledge of condotels in the area and feedback on complexes which where helpful to me as well. I'd use them again. Thanks!