Our 2nd BRRRRR in Western NY

[Annie Johnson]

Investment Info:

Single-family residence buy & hold investment.

Purchase price: $65,000
Cash invested: $85,000

We put in an offer on day 1 of listing. The home was for sale on 10 vacant lots and this attracted us. Asking price was $69,000 and we offered $65,000 cash and they accepted. This offer was accepted August 2020, we did not close until April 2021. Not sure of the exact reason but something to due with Covid and the vacant lots being in different names in the family. Once we closed we put in $20,000 of renovations and landscaping. New windows, paint, lights, appliances, flooring and wall repairs. We got an appraisal for $145,000! We financed the home and cashed out $74,000 back in our pockets. We would like to eventually build duplexes on the vacant lots but as of right now building new the numbers don't work so good. Thanks for reading!

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

price and 10 vacant lots

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

found on Redfin and put in a cash offer first day of listing

How did you finance this deal?

Had money from the lot we sold in WA

How did you add value to the deal?

Renovated windows, floors, lights, new paint, added new appliances and repaired walls.

What was the outcome?

Almost a perfect brrrr. Appraised for $145,000 and with $85,00 cash invested we now have $74,000 back in our pockets to do it again.

Lessons learned? Challenges?

NY is SLOW and you need to call everyday to get the ball moving.

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

We changed our Realtor after this one :-/ But our Property manager helped get this ready quick after closing! reach out if you want his number.