Our 2nd Flip in Sioux Falls, SD

[Mike Romanowski]

My wife and I are real estate investors in Sioux Falls, SD.  My is also a realtor licensed in SD.  Here is the story and some before and after pictures of our 2nd non-owner occupied flip.  The first one was several years ago and unfortunately we do not have pictures.  We bought this house for cash as a foreclosure due to it's very desirable location.  Even though we were not sure what would be best, tear down the house and resell the lot or rehab the house.  In the end we decided to rehab.  We did all the work that we legally could on this one.  Only subbed out the plumbing, electrical and HVAC which has to be done by licensed contractor here unless you are an owner occupant, then you can do it all yourself.  Even though we enjoy it, we do not plan on continuing to do all the work ourselves for much longer since that model does not scale.  The house now has new plumbing, new and updated electrical and new furnace with central air conditioning.  We have a signed purchase agreement from a cash buyer for this one but closing will not be until May since it is currently rented until then.  I don't want to list all the numbers until after closing.  For now I will just say that we made a 22% annualized return on our total cash investment.

Before: (We had already started taking out some of the 20+ trees we had to remove that were all volunteers growing in bad locations all over the lot or were dead.  Hated to do it but it was necessary.)

After:

Before: (Sorry about the image being rotated 90°.  For some reason it rotates portrait images to landscape when they are uploaded)

After: (Same kitchen taken from a different angle looking out through the widened opening to the living room)

Before:

After:

Before: (Bathroom)

After

I don't really have before shots of the the rest of the place so here are several more after shots.

Living room

Master bedroom

2nd bedroom.  In here I rebuilt the stairs to the 1/2 story upper floor.  I made them an "L" shape since the old ones were very narrow and steep and when you got to the top you had to duck or you'd plant your face into the sloped part of the ceiling.

Half story upper floor (attic)

Basement (Added an egress window for future legal occupied space. Decided not to finish the basement ourselves but it was an added selling point for buyers)

Sorry about the rotation again.

If you have any questions please don't hesitate to ask.  We learned a lot doing the project and enjoy sharing what we know.

Thanks for checking out our story and happy investing!

Mike