However, you'll minimal capex/maintenance/vacancy and the overall return after 5 years could be very strong. 

And don't underestimate the power of a strong first impression – a well-maintained exterior with a fresh paint job is key.Just remember, even with the best upgrades, color choices matter.

Grow steady and have a strong foundation.

Cheers to closing out 2024 strong and moving into 2025 with intentionality!

If you are going to invest in class C I strongly recommend you physically go visit the property and the area with your own two eyes.

Unused contingency funds, unless they were received directly from the borrower, must be used to reduce the outstanding balance of the renovation mortgage after all of the renovation work has been completed and the certification of completion has been obtained.The loan is not re-amortized.Draw Schedule:The HomeStyle program has a maximum 4 draw process.The initial draw can be up to 50% of the total project and can be for materials for the project.The final draw will be at least 10% of the total project as retainage and funds will be released upon receipt and approval of final inspection, Certificate of Completion from Appraiser, signed All Bills Paid Affidavits and Lien Waivers.Additional Draw Information:Ø Signed Draw Request by borrower and contractorØ Signed All Bills Paid AffidavitØ GMG review and approve the draw request and will release funds for disbursementØ A check will be issued in the name of the borrower and contractor and delivered to borrower via USPSØ An inspection of work to date will be performed at 50% completeFinal Draw Information:Ø Signed Draw RequestØ Final inspection/Completion Certificate will be required for release of final fundsØ A Title Update showing property free from lien or encumbranceØ General Contractor’s Lien Waiver AffidavitØ Affidavit of Completion GR will review and approve the draw request and will release a check in the name of the borrower and contractor.Change Orders and Cost Overruns:Changes to the initial plan are not permitted unless prior approval by Guaranteed Rate.

I am proposed GP with development / management experience, however my liquidity is tied up in a separate development initiative. 

If there is one thing I would do different is: I would invest Out Of State in markets that had sustained growth, strong job numbers, were safe and desired, and had favorable Landlord laws. 

While he wasn’t successful getting the insurance companies to accept liability (initially), he pointed out to the plaintiffs attorney that (1) the owner of the condo was an LLC, not me personally, and that’ll business concerning the condo was done in the name of the LLC, and (2) the only asset of the Series of that LLC was the condo itself, so that the legal entity owned only that single asset.  

If they pass that initial trial period, I offer a 6-12 month renewal.