All Forum Posts by: James Konvalinka

@Emily L. Wiersema

That’s very similar to what I was getting quotes for an egress! As for the reason I want to do It is because I will also have to add columns to the foundation so I will already have a foundation specialist there to do one job it might make it cheaper in the long run to do it all at once.

The basement is already framed but I would be moving some walls and reconfiguring some of the basement but for the most part it would be staying close to how it is. So I’m hoping to save some money there and it already has a sump pump/drain tile in it.

How many flips have you done so far? I would be really interested in chatting more and hearing about some of your experiences!

@Marcus Auerbach

Thanks for that info that makes a lot of sense! I have checked the comps and it looks like having a 4/2 SFH compared to a 3/1 SFH there is about a $20-$30k difference in the sale price. If on average it costs about $10-$15k to complete a full bath and egress/bedroom in the basement to add an additional $20-$30k of potential ARV. Would you still advise against it? I know below grade bedrooms are less desirable but they do still add some value, my question is would it be enough to warrant the work? I just want to make sure I'm not totally missing something in my thinking here and I know you are a lot more experienced than I am so I appreciate the input!

Hey All! 

I am wondering if anyone has experience with adding plumbing for a full bathroom in the basement of a single family home here in Milwaukee, WI. I am currently looking into a property that I am planning to flip with a partner of mine and had some questions about adding plumbing in a basement. Our plan is to finish the basement, add an egress for a bedroom and a full bath however there the basement does not have any plumbing for a bathroom. 

What are some things that we need to be aware of when adding a bathroom in the basement?

How much on average does something like this cost? 

Does anyone have any tips or tricks they have dealt with that they would be able to share to a newbie flipper? 

Any info is very much appreciated! :D

Hey Dan! Welcome to Milwaukee! 

There are some really great Facebook groups that are full of tons of info and awesome resources. Some of them are Brew City REI, Brew city REI Training Cafe and Milwaukee real estate investors group are a few that I can think of off the top of my head.

If this is your first home I would highly suggest starting out with a duplex or 4 family and house hacking. Where you live in one unit rent out the others and use the rental income to help offset your housing expenses. It’s a pretty common path that I’ve seen tons of people have success with. I have been doing it for about a year now and have absolutely loved the experience. 

If you ever have any more questions feel free to reach out. I’m also a licensed real estate agent and would be glad to chat about the market and any areas you might be interested in! 

Hey! 

Welcome to the market!

It depends on what you are looking to spend for your purchase price. There are a lot of great duplex’s and 4 units all over the city that make for great rental properties. Areas north of Hampton Ave on the north side has some good properties and with good rents.

as for up and coming areas, I would keep your eye on West Allis. I feel that is definitely a good market to be buying in right now. I’ve seen a lot of developments happening and restaurants expanding to that area. Rents are starting to come up and the properties are in pretty good condition. The values are definitely rising so cash flow seems to be slimmer but as it grows I think the rents will continue to come up with it. 

if you ever want to chat more feel free to send me a message! 

Hey! 

Welcome to the Milwaukee Market! I Would love to connect. I am a local real estate investor, worked as a property manager in Milwaukee for a year and now am a licensed agent. Just sent you a message. Let me know if you want to chat!

Investment Info:

Small multi-family (2-4 units) buy & hold investment in Bay View.

Purchase price: $230,000
Cash invested: $9,900

This was my first investment property that I am very excited about how it turned out!

I bought the duplex in July with an FHA loan and am currently house hacking the upper unit

The home is a 2/1 upper and lower and currently renting the lower unit while living in the upper.

My goal for this property is to remodel my unit while I live here so that I can rent it out and continue my journey by buying another duplex or 4 unit and doing the same process.

I will be adding an in unit laundry room, redoing the kitchen and refinishing the floors throughout the unit. The bathrooms were already redone before purchasing.

As it currently sits, I am renting the lower for $1425 with 2 single car garage spaces and a Pet. My mortgage is roughly $1700 (including Taxes & PMI) so after everything I am paying about $300 a month for the property.

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

At the time I had just graduated college and was living at home with my dad. I was very motivated to get into real estate and out of my dads house. So I took a job as a property manager and learned about the market that I was looking to invest into. I loved the idea of house hacking because it gave me the opportunity to move out on my own, buy a multifamily property and be able to reduce the amount I pay on my mortgage all while still creating equity and getting first hand experience in managing

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

I found this deal on the MLS. I was actually looking at a property that was in the same neighborhood and I did not like the property I was looking at. But I remembered seeing this one on the MLS. I took a little drive after my showing to come and see it and really liked the property. When I went for my first showing, the owner told my agent they were going to knock $10,000 off the listing price. So I just made a full price offer and negotiated some credits at closing.

How did you finance this deal?

I used an FHA loan 3.5% down.

How did you add value to the deal?

Currently in the process of the value add - but am going to do some remodeling to the upper unit. Adding an in unit laundry in the very large back pantry. Also will be updating the lower units bathroom and kitchen.

What was the outcome?

Outcome has not been reached yet but will update when it has been!

Lessons learned? Challenges?

So far there have been a few challenges. I was not sure if the FHA would finance this deal due to a few of the stairs not being up to code. Although, they were still able to fund the deal without having to fix any of the issues!

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

Yes! I worked with Charlie Hutchinson from Houseworks Collective. He was a great source of information as well as an awesome person to work with. He was knowledgeable on house hacking since he has done a few himself and was able to provide a very high quality of service and expertise! Highly Recommended!