Investing: From Acquisition to Exit - Week 2

Welcome to WEEK TWO of our entries: the process of investing in real estate from START to FINISH.

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Our project -- Week TWO.

Of course, there are no surprises this week!  Renovating a house is just like peeling an onion–you never know for sure what you have until you peel it all back.  We had TEN people working on this house for the better part of this week.  It is critical to be prepared to start the work the very first day that you close on the home. Our first trip to Lowe’s home improvement center was fun. It was like a parade with about four carts full of materials.  [BTW: ANYONE can save 10% at Lowe's by getting the coupon from the "change of address packet" at their local post office.  This week we spent $1,400 in materials at Lowe's and saved $140. Pretty sweet, right?]

Here is what we did this week:

 

Construction of the new full bathroom

 

• New dimensional shingle roof
• New deck in the back yard
• New full bath (almost done)
• New heating and air conditioning installed (WITH a 2.5 ton heat pump)
• Prepped all walls for painting

Here’s what’s happening NEXT week:

• Completing all interior work
• Refinish all hardwood floors
• Lay new kitchen floor
• Lay new bathroom flooring
• Replacing shutters
• Painting of exterior trim
• Complete all landscaping work
• Determine sale and listing price
• List home using Just List ‘Em: http://www.justlistem.com

Our investor is very pleased with the progress of the renovations on the property. By using his IRA to fund the project, he is receiving an 8% interest return on his overall investment–something he would never have received from a bank. We are so happy to be collaborating with a private lender on such a great project. By becoming a private lender and investing in real estate when the stock market is not at it’s best, you are able to achieve greater financial gain in an easy and reliable manner. After last week’s post, we received A LOT of questions regarding this process. We would be happy to answer them, but I would also like to refer you to this website:http://www.entrusttexas.com. [The contact is Quincy Long.] The Entrust Group provides a lot of GREAT information regarding self-directed retirement plans–this is a great place to start when considering investing in real estate and properties.

Look forward to next week when we discuss the completion of the renovations, sale-price, and MORE.

In the meantime, follow us on Twitter! @justlistem