Purchase on Homesearch and my first BRR!

[Mitchell Jaworski]

So the plan was to post about my homesearch experience as it went along, but time seems to slip away. After closing on the property a month ago and the renovation now all complete - let the post commence!

Bid on a 2/2 1000sq ft. condo in Boynton Beach through homesearch in early February. There wasn’t much action as there looked to be only one other bidder (who very well could have been homesearch/bank). I won the auction at 84k. The property was listed as “seller approval” which means the bank has 15 days to say yes, no or counter.

I’ve been through it before and when the price is a nice chunk below what other bank owned properties in the area are listed for then a decline or counter offer is what happens at day 15.  My offer certainly fit in that box as there was an identical bank owned property in worse shape listed at 99k around the corner.

However, good fortune for me cause 10 days later homesearch told me the bank accepted my offer. Sweet! 6 months and 20+ offers later finally found got a good deal under contract!

The title company assigned to the deal is in Tampa, FL. I’m over on the other coast in Palm Beach area. They handled the transaction well and we closed in less than a month to my surprise. I hear this is not the cause with HUBZU (I also hear they use a title company located in India)

After homesearch’s fee and closing costs I was at 89k for the property. Estimated rehab was 6k. (mainly cosmetic)

This was my first reno as my other two properties were essentially move in ready. Even with contracting 90% of the work out – wow what an exhausting 3 weeks! Home depot was my second home! Then, I fell into repainting the kitchen cabinets last minute as they were just too beat up. Felt like it was never gonna end, but was proud of the improvement I made.

New flooring in the bedrooms, new toilets, ceiling fans and lighting fixtures and faucets. New dishwasher and refrigerator and a complete repaint of the interior. Repairs on A/C and was able to land just under budget, hooray!

Then the washer machine died the day we finished, not hooray! Being it’s a stackable (that’s all that fits) and it was 15 years old mind as well replace. Scored a refurbished one for less than half a new one and only broke budget by $400, very happy.

Now it's time to find a tenant!

Here's one before/after