My first BRRRR!

[Max T.]

All private money from 1 investor. I get 10% equity plus 5% of monthly rents as manager. Bought it bank owned for 79k. It is a 2 bd 1.5 bath in the fishtown neighborhood of philadelphia. Rehab budget was 16k. Spend that fixing plumbing, electrical, roof, hvac, ceiling issues and appliances. Had a lot of interest with it listed at 1225/month. Then some of the new appliances got delivered and mold was discovered in the kitchen floor. Now it's back off the market until that gets fixed. Going back to the boss man tomorrow for another 3k. I'll keep you posted!

[Max T.]

@Jeremy Pace - There are 3 homes on the block currently for sale. Same bed/bath/sq footage count. They are upgraded with top of the line finishes and are listed between 199k and 229k. The rehab I am doing is much more basic, not as fancy. We are looking to hold this property as a rental for ~5 years. When the time comes to sell we will do a much nicer renovation that what I'm doing now. Realistically we would only get around 150k if we sold it now.

@Mark Redmann - I do not know the investor personally. I have been connected to him through a friend of mine, who earns his equity share by bringing people together for deals like this. The investor is one of the top fertility doctors in the Philadelphia area. The friend of mine is one of his patients. Hooray for networking!