$128,000 profit without flipping....

[Marisa R.]

Hi All

Just wanted to share another little sweet deal, this is a buy and hold, access equity, rinse and repeat.

Advantages are that I get to continue growing my capital as this neighbourhood is hot. Problem is trying to find another at this price.... just keep searching I guess.

This property was purchased in July 2017 for $72,000 in July 2018 I had a bank valuation of $200,000. 

Today, I expect it to be worth over $200,000. As we know bank valuations can be a tad conservative. 

So why flip this one when I can enjoy ongoing growth, I access equity, continue holding a solid property, with a solid tenant and solid rent.

I know many will poo poo Detroit market, but as you can see there are deals to be had if you know how to find them.

Here are the numbers

Rent- $1250 (100% Section 8 voucher)

Bank Valued - 200K (2018 July)

Rehab - $10,500

Purchase - $72,000 (mid 2017)

Address: 17385 Warrington - University District

https://www.estately.com/listings/info/17385-warri...

[Jay Hinrichs]

yes banks has a value.. but landlords in that or many markets will pay no more than the 1% rule especially with a section 8 tenant. so value  is probably realistically 120k ish.. unless you can find owner occs that will live in a renter dominated street which is rare.