Single Family Residence Upgraded

[Ravi S.]

Investment Info:

Single-family residence buy & hold investment in Miami Lakes.

Purchase price: $385,000
Cash invested: $324,000

Single family home in very good residential zipcode
and in one of the best community
Upgraded the home by spending 60K
now rents for 3050 = annual rent 36600
annual taxes & insurance 14000
net return 22600
Cash on Cash return 6.975 %

current market value 585,000

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

I love real estate.
I like to buy properties that need work.
Thus create value in the investment.

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

was searching good area residential area which is equidistant from Miami and Ft. Lauderdale both.

How did you finance this deal?

Bank

How did you add value to the deal?

I upgraded the whole house which was 70s house.
retiled entire house
upgraded all 3 bathrooms
upgraded the entire kitchen
redid the pool, patio

What was the outcome?

bought home for 371K +14 K closing cost + 60K in upgrade = 445K
current market price 585K

Lessons learned? Challenges?

good upgrades increase value of the investment

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

yes I had a realtor