He was contracted to help me finish a renovation for almost $45k.

It was renovated in 2017 and rented in 2022 with no issues.

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

While they may or may not be professionally managed, Class C properties will have some deferred maintenance issues and need renovations and upgrades.

For that same capital, I can buy a run down project and renovate.

-----------------------------------------------------------------------------------------------------------Recommend you first figure out the property Class you want to invest in, THEN figure out the corresponding location to invest in.Property Class will typically dictate the Class of tenant you get, which greatly IMPACTS rental income stability and property maintenance/damage by tenants.If you apply Class A assumptions to a Class B or C purchase, your expectations won’t be met and it may be a financial disaster.If you buy/renovate a property in Class D area to Class A standards, what quality of tenant will you get?

Are you purchasing them at full retail value after they're done or are you the one purchase the shell doing the renovation but they're just doing the leg work ? 

I think having a balanced budget would be ideal where you allocate money into buying another property and money set aside for renovations.

@Isaac Terry Recommend you first figure out the property Class you want to invest in, THEN figure out the corresponding location to invest in.Property Class will typically dictate the Class of tenant you get, which greatly IMPACTS rental income stability and property maintenance/damage by tenants.If you apply Class A assumptions to a Class B or C purchase, your expectations won’t be met and it may be a financial disaster.If you buy/renovate a property in Class D area to Class A standards, what quality of tenant will you get?

It was a personal referral, received a credit at closing for renovations as well How did you finance this deal?