Condos are fun rehabs...only have to deal with the interior.

My company (Guaranteed Rate) was letting appraisers use Facetime or Skyp to see the interior of the property, for instance.A few weeks after we instituted this practice, Fannie Mae and Freddie Mac came out with clear guidance:If your landlord is doing a "cash back" refinance (taking more than $2k of cash back or paying off a second mortgage that wasn't used to buy the property), a traditional interior inspection will be required.If they are not taking cash back, for the most part "desktop" appraisals and exterior-only appraisals can be used.

-Gutted and remodeled the kitchen-Full new interior paint-New light fixtures and ceiling fans-Refinished hardwood floors-New carpet upstairsWhat was the outcome?

I have a background in interior design and I was itching to put it to use on my own investment.

Aug 2019: Purchased distressed 20 units in Cincinnati, OH for $450,000 all cashProperty is 70% occupied with rents averaging $375/month, loads of deferred maintenance both interior and exteriorBegin to cure basic and necessary repairs for health and safety of the residents while we look for construction funding for the future rehabilitation projectOct 2019: Received term sheets that were satisfactory and began working towards the construction plan.

Added new water resistant laminate floors, paint throughout, complete bathroom renovation (except vanities), new kitchen cabinet doors and countertops, refinished original cabinet bases, new windows, all new interior doors, refinished front door, all new appliances, white subway tile master bath, faucets and shower heads, white subway tile kitchen back splash, all new fans and light fixtures, new hot water heater, roof repair, and all new electrical outlets and switches.

My duplex has come a long way on the interior which I will continue to chip away at.  

Interior & exterior paintDoes this look in order? 

If you make your own internal deductions (and you guys agree) for the tax that you pay on the profit, you can probably just send the money to your friend and avoid the legal entity stuff...As always, talk to a professional.

The home at $285K needs a paint job and some interior remodeling that wouldn’t be too difficult and would bring the value of the home up to around the homes around it.