Jonesboro House Remodel

[Joshua Granberg]

Investment Info:

Small multi-family (2-4 units) buy & hold investment.

Purchase price: $19,000
Cash invested: $42,000
Sale price: $120,000

This property was originally a SFH with a detached garage. I gutted the main house and rebuilt it. All new electrical, plumbing, flooring, kitchen, bathroom, walls. I then tore down the detached garage and built a studio with a loft. It was an expensive and extensive remodel project but it worked out great because of the AMAZING purchase price!

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

This was a house hack. Once the main house was finished (well, almost) we moved in and then began the studio build. It was just a fun project my wife and I wanted to tackle together.

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

It was a repo home. I found it through local connections.

How did you finance this deal?

Cash purchase. Refinanced after main house was finished and used those funds to build the studio.

How did you add value to the deal?

Complete remodel and converted to duplex.

What was the outcome?

Almost 50% ROI in 2 years.

Lessons learned? Challenges?

Probably should have bulldozed the building and started from scratch. :-)

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

Evolve Bank and Trust