All Forum Posts by: Justin C Huggins

@Max Taylor

I have researched the area and the downtown area will not allow multi-family.  I have looked at some of the outlying areas and most are zoned to allow multi-family as long as they are not in subdivisions.  Thanks for the info, on plumbing would it be required to have a separate water line ran to second unit or could you split at the house?  When estimating, would you add any additional safety factor on top of the original rehab budget just to account for any unforeseen?  If so, what % would you use?  I appreciate all the information, very good points to look for in a property.

Anyone have any experience turning a larger SFR into a Duplex? Basically what would you look for in a SFR to give you this option besides size of course. What to look for to minimize rehab costs? Also, if anyone has any blog posts on this topic, I would love to read them.

I am currently in the same boat, been looking for same thing.  From looking through the BP forums and watching some demos on several options, this is what seems to match my needs the most.  Like I said, I have not tried it yet, but plan too use in the next couple months based on some of my research.  I will list a review once I do.

https://www.rentecdirect.com/

Recently I looked into doing this and ended up backing out of the deal.  It was a desirable area and numbers made sense initially.  The thing that made me back out was actually the sewer line.  Since it was multi-family the city required a larger sewer line an additional man hole.  This required a Engineer to design (5-7K) and then the installation of the larger line and man hole (50-60K).  Obviously once this was considered, the numbers didn't make sense anymore.  I would just do very thorough due diligence with zoning and utilities for the area.

@Larry Fried I did some searching and so far found some good information.  Not sure I am thrilled with what others have encountered.  

@Alex Craig I have a pretty tight schedule, so this is what originally attracted me to turn key.  It is more of the investment vs. side job.  Plus, I would imagine turn key providers are able to get better pricing vs. someone who does occasional rehab.  The equity is a bit of a hangup, but I would hope if these are done in the right area I could see some appreciation over the years.  Especially on B class properties.  

@Rachel Fazio I would be interested in going to the local REA. Where and when is it held? I will definitely look into the regional message boards as well. I have been somewhat hesitant about investing in LR due to crime, but would not be opposed to some of the lower crime areas of the city. I am just not very familiar with the city, so I have avoided it up to this point. Thanks for the information, I would prefer to invest somewhat local if the ROI makes sense.

@Brian Garrett That was actually one thing I was concerned about.  I guess I just assumed everyone had to deal with roadblocks such as that.  Sounds like I have some more learning to do.  I do currently own one turn key property that I paid all cash for.  I am planning to do a cash out refi next year on it at well to free up a little capital to reinvest.  It does tie up quite a bit of cash going the turn key route.

Thanks Shawn, good suggestion.

James, very good advise. I am having trouble finding any properties that meet the ROI, that I am finding with the turn key. I would prefer to buy locally if the ROI makes sense.

Maybe I am looking in all the wrong places locally.  

These are both Indianapolis.  

My primary goal is to acquire more properties quickly from either refinance or heloc from existing properties. I have roughly 50K right now to invest and I am looking into 2 different turnkey providers, Morris Invest and PARC. I can purchase potentially 2 houses with PARC while putting down 20-25%, but will only be able to purchase 1 with Morris invest. The ROI is going to be very close either direction. Any recommendations for a newby or things I should consider? In terms of housing quality, PARC seems to have higher end properties (B class), and Morris Invest is primarily (C class).

The Duplex is currently renting 1 unit for $500.  The other is vacant.  The duplex mainly just needs the siding cleaned and stained.  I plan to remove worn carpet with vinyl for the vacant unit. It is listed for 64K and pretty sure I can get at 60k, maybe lower.