Hey Gene, for your situation, you probably need to get a fix&flip loan to acquire and do the renovation.

Lenders may ask for these when determining the post-renovation value.The After Repair Value (ARV) is key to your refinance.

Purchased on 4/19/2024 for $20,000, we invested $45,000 in strategic renovations to transform the property.

Purchase price: $840,000 Cash invested: $75,000 Sale price: $1,200,000 Full renovation of all 4 units.

@Matthew Cook I would NOT pay for the renovations unless I was on title or had a very formal contract written about the split of profits.

You can 100% use an FHA-203k renovation loan on multi-unit properties up to 4 units. 

With $65,000 invested in strategic renovations, we transformed the home by modernizing key areas and enhancing its curb appeal.

The real estate investing industry uses "Classes" to rank property performance risk, but there's NO agreed upon industry model:(Here's what we use for our Metro Detroit market: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?

We had a flip where we were doing a complete gut renovation.

Here are some key takeaways from our experience flipping homes and running a renovation business in San Diego.1.