Don't know how much renovations will really cost, again, either PM or GC conversations.  

The motivation is not necessarily to scale into larger opportunities but rather to achieve better balance and also optimize the performance of the projects and types of projects I currently pursue.I have no shortage of individuals who possess specific skill set who would want exclusive rights to that particular service vertical in return for contributing capital and a partnership interest (construction background and wants to take over all construction duties or someone who is a sales broker and wants to list all of the properties etc.)

Depending on the age of the house, even if "fully renovated" it may not have any or enough insulation.

That is 80% of the purchase price and repairs or renovations that you can show receipts and proof right away without having to wait 6 months.

Here's a breakdown of the situation:Current Occupancy: 80% (16/20 units occupied).Current Gross Rent Roll: $14,265/month.Market Rent Potential: $17,665/month (100% occupancy).Renovation Needs: 15 units require full renovation ($10K/unit), 4 units are 75% renovated ($2.5K/unit), totaling $160K in renovation costs.Vacancy Loss: $41,820/year in lost income due to current vacancies.Cap Rate AnalysisThe seller lists the cap rate as 9.59%, but this is based on the projected NOI of $119,858 (assuming full occupancy and market rents).

Go for projects that needs rehabs and get into flips/BRRRRs. 

CURRENT FOR SALE.Homes were in disrepair and needed immediate renovation.

Thirty years ago I started purchasing and living in properties in upcoming inner city neighborhoods that required renovation.

Look for discounted run down properties that need renovation and change the layout during the renovation.

So we shall elucidate five myths and truths about investing in them.Myth 1: Distressed Properties Are Always Money PitsMost people think that distressed properties require major renovations, which wipe out profit returns.