Updated 3 months ago on .
Genesee County, Michigan - Large SFR Portfolio Acquisition & Management
Investment Info:
Large multi-family (5+ units) note investment investment in Flint.
Purchase price: $450,000
Cash invested: $250,000
Ikon Property Group built a 34-property single-family rental portfolio in Genesee County, MI, for SK Capital. Properties were acquired below market ($5K–$30K), renovated in-house by our construction team, and leased to screened long-term tenants. Current values range $60K–$150K with rents averaging $1,000+/month. All-in costs $20K–$50K per unit. Gross rental yields exceed 30% annually before refinance. Investors enjoy strong equity growth, cash flow, and fully passive management by IPG.
What made you interested in investing in this type of deal?
Our clients were attracted to these deals because of the high cash flow, low entry cost, and strong value-add potential. With purchase prices as low as $5K–$30K, we were able to stretch their capital, execute efficient in-house renovations, and deliver turnkey rentals with 30%+ gross yields. The strategy offered an ideal mix of cash flow, equity growth, and passive ownership.
How did you find this deal and how did you negotiate it?
Many of the deals were sourced through Michigan Tax Auctions, the Genesee County Land Bank, and sheriff sales. Others came from direct outreach to owners with distressed properties needing major renovations. We leveraged our local market knowledge and in-house construction team to negotiate discounts, often on properties that most investors overlooked due to the rehab scope.
How did you finance this deal?
Our client, SK Capital, had significant investor capital raised, which was used for initial acquisitions and renovations. Once the properties were stabilized, we helped them secure large blanket DSCR loans across multiple assets. This allowed them to cash out equity and reinvest into expanding the portfolio while maintaining strong monthly cash flow.
How did you add value to the deal?
We added value through strategic upgrades and tightly managed rehab, keeping construction costs low while significantly improving property condition and appeal. This allowed us to increase rents and tenant quality. Professional property management ensured efficient leasing and long-term tenant retention, driving strong cash flow and overall portfolio performance.
What was the outcome?
We built them a portfolio of 34 single-family rentals with all-in costs of $20K–$50K per unit. After renovations and lease-up, properties now appraise between $60K and $150K and rent for an average of $1,000+/month. This resulted in 30%+ gross rental yields, strong monthly cash flow, and 2–3X equity growth. Our clients also completed cash-out refinances to recover capital while keeping ownership, making the portfolio fully passive and cash-flowing.
Lessons learned? Challenges?
A key point is that in Genesee County, neighborhood qualities vary street by street, creating higher risk if you’re not actively buying, selling, or managing locally. We faced challenges with low appraisals on single-property cash-out refinances, as appraisers often lacked the aforementioned hyperlocal knowledge and undervalued properties. To overcome this, we pivoted to blanket loans across multiple properties and secured financing on appraised values as low as $50K to $75K.
Did you work with any real estate professionals (agents, lenders, etc.) that you'd recommend to others?
We have developed many strategic partnerships with Realtors, lenders, and other professionals throughout Genesee County and across Michigan. However, for this particular initiative, our organization spearheaded the entire process—from acquisition and rehab to financing and management—on behalf of our client.
