Fellow BP's risk does equal reward even in Austin Texas area. Duplex had been on the market for almost a year. Huge issues including foundation, mold etc. I showed this property to several investors and they all balked. It seemed like the entire market balked. I decided to buy it. I brought in an experienced partner and a very good friend that saw the same opportunities as me. I just finished the reconstruction process. It was a very hands on experience that was fraught with disaster at every turn, so it seemed. Spent many a sleepless night thinking about all the possibilities and working through it. Went hard money because no lender wanted to touch it. Got one side leased out. Moved into the better side. Got a room mate and took the best room. My room has downtown views. Upon refinancing holding costs will be very little . Its a long term play as the long term appreciation has been very good. The duplex across the street was sold as condos for $635k and $595k. Our cost was cumulatively $450k roughly. Equity approximately will be a bunch. Not bad and well worth all the stress.
Fantastic,, Aaron. Might be a good one to do a cash out refi after it has seasoned. What ZIP Code?
Hi Jon. That is exactly what we are attempting to do. We plan on refinancing and hopefully take most of our money out of it. That is the plan anyways. We are working on it presently. 78741 is the zip code. Thanks!!!
78741 was a target for us when we were in Acquistion mode a few years ago. Ended up not buying there because exit prices were lower than the zips just to the north, but now with Oracle and gentrification in full swing, 78741 is a fantastic place to play.
I agree! Thank you very much!! @Jon Klaus
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