All Forum Posts by: Chris Kendrick

Quote from @Chris Kendrick:

Quote from @Scott E.:

The difference between buying a turn key rental property and doing a BRRRR is..

-TURN KEY RENTAL: Buy, rent, repeat

-BRRRR: Buy, rehab, rent, refinance, repeat

If you're up for a remodel then a BRRRR is still a good strategy. It will help you learn how to buy a deal under market value, how to add value through renovations, and how to manage a remodel. But when it comes time to refinance you will probably be disappointed. Values are dropping, and rates are up. This is that part of the BRRRR method that is broken right now.

How you going to buy an turnkey property and rent it out with cash flow, turn key is at market value

All properties can cash flow. Using leverage is where it gets more challenging.

But if you bought a $200k single family house cash and rented it out for $1,700 per month, you'll have around $1,300 per month in cash flow after paying taxes, insurance, maintenance. 7.8% return on your money.

The difference between buying a turn key rental property and doing a BRRRR is..

-TURN KEY RENTAL: Buy, rent, repeat

-BRRRR: Buy, rehab, rent, refinance, repeat

If you're up for a remodel then a BRRRR is still a good strategy. It will help you learn how to buy a deal under market value, how to add value through renovations, and how to manage a remodel. But when it comes time to refinance you will probably be disappointed. Values are dropping, and rates are up. This is that part of the BRRRR method that is broken right now.

@Steve Fitzgerald - There is a undersupply of rental housing in the Raleigh Durham area which means there is no shortage of renters. I would not worry about spooking a potentially good tenant by being up front with your minimum requirements. Putting the information in the listing helps both you and the applicant save time.  

My team manages property all over the Raleigh Durham area. If you are self managing and wanted to chat through your management process, I am more than happy to jump on a call/grab a cup of coffee and we can swap best practices. 

Your profile has you as an investor located in Durham. If this property is in Durham then do whatever you can to ensure you get a really well qualified tenant. The Durham court system is not known for being landlord friendly and good screening on the front end goes a long way in helping avoid tenant issues that end up in court. 

Best of luck! Give me a shout if you ever want to meet up and chat REI.

Hey Joshua! I am the host of a local meetup called Pints & Properties - Raleigh, there you can meet with many investors and you never know who you'll meet. You might just find what you are looking for. People are sharing ideas and deals all the time. Im also looking at coming up with a new meetup, spin off of the networking event that I host to pair people in a mentorship type program, if you are interested in staying tuned to that.

for a rental with average finishes, those are way high.  get some bids.  join your local reia.  they will answer all of your questions like this and recommend to you the right people to use.  if you let me know where you are in nc i can send you contact info for the local reia near you.

Quote from @Chris Kendrick:

What would a normal cost to upgrade the flooring and bathroom and kitchen,  for a small house 2 bedroom 1 bath 1k sqft

@Chris Kendrick

The last topic I responded to you was locked because you don't accept the answers from the multiple people that are giving them to you.  Restating your question doesn't really help.  No one can give you SPECIFIC answers to your questions, because on a chat board, we are just going off our own experiences, which are not your experiences.  There are so many variables in any situation that it just isn't possible to be specific.  We've told you the numbers look high.  I have told you some figures I have experienced in the past.  I will not be responding to this topic any more, but just encourage you to accept the answers you get on the boards a good general advice and be happy with them.  

Truly wish you all the best!

Randy

These quotes are to high. I recommend building a Rehab Cost guide excel spreadsheet that will walk you through material prices. This will ensure that you have a relatively appropriate rehab budget. Try this, walk the property, and you'll find a lower rehab cost. Hope this helps. 

I use a handyman for a light rehab. This is much cheaper than a contractor.

The prices you mentioned seem way too high to me.