Purchasing Small Portfolio On Land Contract to BRRRR
Need advise.
The deal: Location South Bend, In
13 properties
All priced below assessed value.
Condition of all properties is rough and all are in need of extensive renovations to bring to rent readiness state.
All properties are single family homes and all are located in C to D areas of the city.
Sec 8 rents run $700-$900 for similiar homes.
Market rent is comparable
Strategy:
Purchase on land contract at 12% for 6 years.
I would be responsible for all renovations.
I would rent out the properties and then refinance at better rate.
Does this deal make sense and has anyone every done BRRRR on land contract?