The house is definitely on the older side, built circa 1930, but walking through the property I saw a ton of potential (huge back porch, front porch, large semi-modern kitchens, beautiful hardwood floors trapped under dingy carpets, etc.).

You'll need to paint it, replace that old carpet, do landscaping etc.

Thanks so much for all you’re insight, excited to close and get in there and start ripping up carpets and getting it tenant ready!

Here are the numbers on this deal along with some before and after pictures: 3 BR, 2 Bath, 2 Car attached garage, 2104 square feetPurchase Price (including closing costs) $82,184.00Sold Price $209,000Total Rehab Costs $60,000 – Kitchen update, both the full baths, new flooring on the main level, new carpet throughout the house.

Needed remodeling, i.e. some carpeting, painting, kitchen appliances, countertops, but overall not in bad condition. 

(To be completed by mid July) B Class PropertyCelebration Series 1805-B (The House Model) Wade Jurney HomesWall to wall carpet in the living room area.

Nothing like piles of dirt on carpets and brand new tiles being jack hammered out to make your day.

I can barely get paint and carpet and cleaning done for these amounts.But I would think that even a pretty minimal rehab would be higher than what both estimated...and with the slim margins, I dont see a property worth buying here.

I think that this type of property would look like a good cashflow property for most investors.Now let's assume that we have a vacancy and between the time needed to repaint the unit, change the carpet and  for the PM company to find a new tenant, we lose 30 days of rent.

Then figure in having to update units every 5-7 years with new carpet, paint, etc.