All Forum Posts by: Brad Spuhler

Hi BP team, I'm currently going through my first full renovation (duplex) and my costs continue to increase with unplanned expenses (architect drawings etc). My end goal for the property is to use it as a vacation rental (air bnb) and get it appraised and get my money back to use to purchase more property. I was hoping someone familiar with HVAC costs could take a quick look at the work I may have done and give me an idea if this seems like a fair price. The first floor unit will need duct work and the second floor will have the mini split system on the walls. The total house (both units) is roughly 2,800 square feet. HVAC contractor will: - supply and install 80k BTU 92% gas furnace on first floor - supply and install 3 ton coil - supply and install 3 ton condenser - supply and install 5 zone fujitsu mini split system on the 2nd floor with copper lines and slim duct (2-7k indoor, 2-9k indoor, 1-12k indoor units) - supply and install new duct grilles and registers - supply and install new refrigeration piping, exhaust piping, thermostat - supply and install new natural gas piping to accommodate gas load Estimate is $17,700 and I have no idea if this is fair or in the ball park. Any help or direction is much appreciated. I'm leaning towards having it done in order to increase the appraisal and increase the cost I can charge for the units as rentals but I'm getting nervous as this is one of the larger expenses for the rehab. Thanks for the help!

@Christopher Santiago welcome!  I'm also newer to investing and just starting a rehab on a duplex in Wildwood that I plan to rent out as a vacation rental.  I'm from Wildwood (live in PA currently) and my father is an agent down there as well so please let me know if I can help answer any questions.  Good luck! 

Super helpful @Ashish Acharya!  

The only thing that I would also need to consider that I didn't mention originally, is that I have much better credit than my father so that may impact the ability for him to get the loan.  Either way, I have a much better understanding of the consequences and implications now.  Thanks so much! 

Got it.  Thanks @Lance Lvovsky

Seems like it’s pretty straightforward, file a quitclaim deed to transfer ownership and have my dad file the gift tax return, definitely hasn’t used up the lifetime exemption so should be ok.  Thanks! 

Hi BP community! 

I'm new to real estate investing and could use some help.   I'm working on rehabbing a duplex that was once my grandmother's house (deceased) so that I can rent it out.  It's been sitting vacant for a number of years, long story.  The house is in my father's name since my grandmother's death and he is willing to transfer it to me since I will be financing the rehab and managing the property going forward.   There is no mortgage on the house so I plan to fix it up, get it rented, get it appraised and take out a loan on the house to fund future deals.  Since I'm planning to take out a loan, I would need to technically own the house.   I've read up on gifting and other strategies but it gets complicated and there are many tax implications.  

Anyone have any experience with a similar situation or could point me in the direction for further research?

Thanks so much for the help!

Looking for any advice on my first rental property "deal."  I'm taking over a top/down duplex from my parents (so maybe not an actual deal!), they own it free & clear but it needs a ton of work since they got burned by a previous contractor.  First floor unit is down to the studs and top floor unit is closer to being rent ready.  I'm getting contractors in soon to help me estimate the costs but I imagine they are upwards of $50k+ to get it rent ready.   I'm looking to use this property to help me fund future deals and just curious how I should think about funding the rehab.  I could probably scrape together funds from personal accounts/family etc to cover the rehab but not sure if that's the best way.  Hoping to get both units rented then either take out a home equity loan or line of credit to fund another deal.  Open to any ideas or thoughts on the rehab funding and thanks in advance for the help!

-Brad