Updated about 8 years ago on . Most recent reply
Chicago - $153,500 - 8% Secured First Lien - 6 Month Project
$153,500 Invested - 16% (IRR) fully secured as first lien on property - Draws can be released on inspection
First Lien position 8% paid on sale - 3 months for construction, 3 months for sale and closing.
Details of project:
This is a jumbo Bungalow that is on a double lot in Maywood, which is a blue collar neighbourhood. Nice street with high pride of ownership. CMA is at $229,500. Construction work to be done by myself $75,000 which includes all new mechanicals: HVAC, electrical, new plumbing and New roof. All new bathrooms, new Kitchen, Dry wall and painting as well as sanding floors, new trim. The basement will be turned into a 1 bedroom with open space utility room. The attic in property is very high and is just like a two story but is classified 1.5 levels.
I have been responsible for over 100 properties like this and have my own in-house construction teams.
| PROJECT FINANCIALS | |
| BUYING | |
| Purchase Price | $63,000.00 |
| Buyer's Premium (5% or $2,500 whichever is greater) | $- |
| Renovation Costs | $75,000.00 |
| Closing Costs | $5,000.00 |
| Insurance | $1,500.00 |
| Permits | $2,000.00 |
| Utilities | $2,000.00 |
| Staging costs | $1,000.00 |
| Property taxes | $4,000.00 |
| TOTAL COSTS | $153,500.00 |
| SELLING | |
| Sell Price | $225,000.00 |
| Closing Costs | $7,500.00 |
| 5% Commission Realtor | $11,250.00 |
| Interest | |
| TOTAL GROSS PROFIT | $206,250.00 |
| NET PROFIT - $153,500 | $52,750.00 |
This is to start in 2 weeks.
Regards
Bernard