Although only light "fixing"-- mostly cosmetic stuff. 

Lesson learned: stick to cosmetic fixes unless you’re ready for the stress of a full reno.If house hacking isn’t working in your area, maybe look into single-family homes with ADUs or just an extra bedroom with an exterior entrance.

Their approach resembles the BRRRR method.For example, we have a 3-bedroom, 2-bathroom home in fair condition (requiring less than $20K in cosmetic repairs) that has been on the market since August 2024.

Renovated with cosmetic updates for immediate rental income, it offers strong cash flow while preparing for more extensive repairs and the addition of an ADU.

All new cosmetic ?

Situated on a large lot in a thriving Morganton market, it features immediate rental income potential with cosmetic updates already completed.

I added value to the deal by initiating cosmetic repairs to make the units rent-ready while preparing for more extensive renovations.

If you get a high-paying tenant in there, you can increase your odds of increasing the home's value.So you’d prioritize cosmetics upgrades, or a whole remodel, rather than “new construction”?

I'd personally be a bit more conservative with the underwriting and make sure to see what the carrying costs could potential get to especially if this is a bigger renovation and not just cosmetic. 

We did a full remodel on the property, including but not limited to HVAC replacement, electrical panel upgrade and rewiring, and cosmetics.