BRRRR with ADU Potential

[Katie Rother]

Investment Info:

Single-family residence buy & hold investment in Atlanta.

Purchase price: $258,000
Cash invested: $50,000

Purchased this 2 bed 2 bath, 1250 sqft home with a .75 acre lot, this was a good BRRRR property, it has the ability for an ADU/Granny Flat on the right side of the property. We spent a total of just under 50k renovating the property, all new windows, interior including paint, flooring, updated plumbing, electrical, all completely renovated the interior including removal of popcorn ceilings, and all costmetic updates, cabinets, countertops, light fixtures.

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

Looking for an option to build an ADU, future development in the area and on the land.

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

MLS, I represented myself, I am a licensed realtor.

How did you finance this deal?

Conventional Financing

How did you add value to the deal?

Complete renovation

What was the outcome?

We originally planned for this to be a mid-term rental, but when my grandma wanted to move, we offered it to her instead for minimal cash flow. We are looking here for long term equity growth and eventually will build another unit, with separate driveway, as a furnished mid-term rental.

Lessons learned? Challenges?

Finding a great contractor and sticking to a schedule, to get it done quickly. Rechecking orders, our window company miscounted the windows and forgot one, so we had a delay in the last window install, by 3-4 weeks.

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

Yes, myself haha