4-Plex built in 1902
Good morning BP community,
I could use some guidance on those who have dealt with really old houses. I found a property (house but made into a 4 plex) in a college town that was built in 1902. Outside has been updated with paint, roof, some windows, and foundation work. Inside is a different story. Plumbing needs a lot of work, electrical has been updated but still has some knob & tube wiring. Another big concern is the plaster walls and ceiling, some of the ceiling has fallen down and walls have major cracks due to the house settling. I am curious to hear what others have done in this situation is it better to remove the plaster and do sheetrock but that will take away from the history of it.
4 bedroom, 4 bath, 4 fireplaces, 4 kitchenettes, all hardwood floors 2 story. 2 units upstairs, 2 unit downstairs. I am struggling to come up with good repair numbers as I am concerned with what I might find once the repairs start happening.
Looking to possibly to a BRRRR on this one. I think I can get the property for $70,000 (They had the property listed a year ago for $150,000), ARV probably around $130,000, Rent per unit $400-$500. My original estimate was around $40,000 for repairs but I think that is too low.
I realize there is more information needed for you all to provide detail guidance but looking for those that have had experience with older homes and did you build a bigger contingency for repairs.
As always appreciate all your feedback and thank you in advance,
Rodney