Investment Info:

Small multi-family (2-4 units) fix & flip investment in East Boston.

Purchase price: $565,000

Cash invested: $30,000

Sale price: $665,000

Buy and hold turned fix and flip inv...

Maintenance Costs: Maintaining multiple units can be costly, and unexpected repairs can impact your cash flow.7.

Remodels typically don't have a "set order" in how things are done due to unexpected surprises.   

Due to some unexpected reasons, the trust I am involved with had to sell the 1031 property quickly, it closes on Jan 25 and we have to identify a small apartment complex to upgrade to.

As stated on here even the most experienced builder can anticipate what can go wrong but can never anticipate how long the unexpected fix can take, sometimes you need new permits to solve the issue which can trickle down to time wasted and extra cost. 20% contingency is not always enough to account!

Does anyone have any suggestions or ideas on how to reduce this unexpected cost?

I did however have a tenant knock it off on accident ( I didn’t properly close it).

You realize the if your tenant owes money to collections for bills unpaid, a car accident lawsuit, etc. part of your LLC could be taken to pay their debt? 

Things are going well some unexpected expenses here and there and a higher water bill than imagined lol Overall happy with my investment and thinking of my next move 🙏🏽

Lastly the biggest issue of it all is that the Loan Estimate had me closing at -8k, which was great, because I could keep my reserves to apply to the principle and or unexpected costs.