Updated over 7 years ago on . Most recent reply
First BRRR Project-Doubled Value (Photos Included)
Hey folks, my name is Jay; I'm 24 years old and I decided to take a plunge into a BRRR project as I have a large network of tradesman, industry mentors, and surplus liquid.
In November 2017 I made a bold move of buying a home that investors conceived as a pile of dung. The home sat for 5 years until it was bought by myself from a wholesaler who was located several states away from the subject property. On top of that, they conducted business with an AOL email address. Sketchy, right? The transaction went through well and I was blessed to have a property with tons of upside potential in a soaring market. Closing cost only ran me $956.00 with title policy.
Fast forward three months (March 2018), I have a fully rehabbed home, rented out, and refinanced(HELOC).
Check out the stats and give me your critical feedback. I encourage all suggestions, negative and positive!
Home Facts:
- Beds: 4
- Bathrooms: 2
- Sq.Feet: 1542
- Year Built: 1956
- Rehabbed: 2018
- Rent: $1500.00/mo
Financials (all cash, no financing):
- Purchase Price: $28,155.40
- Rehab Cost: $30,605.81
- Holding Cost: $1,308.00
- Total Cost: $60,069.21
Refinance (HELOC):
- Appraisal: $139,600.00
- Line of Credit: $100,000.00
- Equity: $39,600.00
- IR: 5.35%
- Loan Cost: $1280.00
I have read many BRRR stories, but I'm not sure if I just got really lucky, have a really good cost on labor, or a combination of both. I'll let the responses answer my own questions.
If you have any questions, I encourage you to ask away.
Together, our mind will triumph.
BEFORE:
AFTER
:
\