Scarborough house 2 investment

[David Steinbok]

Investment Info:

Single-family residence buy & hold investment in Toronto.

Purchase price: $425
Cash invested: $18
Sale price: $800

Bought an old lady granny house. Looked like the 1970's. Cleaned the house up and build a 1 bedroom basement apt. Spent 18k on Reno. There was already a kitchen and bathroom in the basement. Rent upstairs for 1600 plus util and basement is 1200 plus util. Refinanced for 80ltv after 2 years.

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

Buy reno rent refinance

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

Real estate agent

How did you finance this deal?

My life savings and borrowed 6k from a buddy because I ran out of money during the Reno.

How did you add value to the deal?

Cleaned up house and built a 1 bedroom apt. Legalization of 2 unit house

What was the outcome?

Refinanced for good profit. House still cashflow.

Lessons learned? Challenges?

This was my second conversion. Went smoothly.

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

Yes