Updated about 5 years ago on . Most recent reply
Fixer Upper Rental under contract
I've got a 3 bedroom / 2 bedroom fixer upper under contract right now for $134k located in Greenville SC. Renovation budget is $30 -$35k which I plan on doing the work mostly myself (besides the roof and Hvac). The timeframe for turning this around is 4 to 5 months as I'll be doing the work at nights after work. The ARV will be $200k.
The property will rent between $1,500 - $1,600 a month.
When I run the numbers, using 5% for repairs and 1 month of vacancy, I have cash on cash return at 11.4%. This is based on me refinancing after 6 months and getting the property reappraised.
Just curious on thoughts on this return? I appreciate any feedback.