First Househack - Whitebox in Indianapolis

[Drew Stroud]

Waddup BP! 

I just had my offer accepted on my first duplex. This property is a "white box"; it has updated plumbing and electrical (home was built in 1895) and new drywall put up but needs all of the finishes (kitchen, bathrooms, paint, floor, etc.).

Preface on the loan: I am using a specialty loan by Indianapolis called "Revive Indy". Loan requires 3% down of total price (house & repairs), and has no PMI.

Here are the details: 

• Offer: 151K
• 3bed/1.5bath per side
• ~1400 sq ft/side
• Estimated renovation costs (See picture below): ~60K
• Estimated ARV: ~220K (??)
• Repair Costs: 
  

Now for the financials: 

• Cash to Close (3% down total appraised value): ~12K
• Rent: 1K (1 side)
• P&I: ~$910 (3.44% fixed, No PMI)
• Expenses (Detailed Below): ~$770
• Monthly Cashflow (while house hacking): -$977

Expenses Breakdown (CapEx Picture Below):

CapEx Estimation:

Conclusion: Truthfully, I am very nervous at the moment. I feel that I am overpaying, and will go over budget on repairs. Am I getting myself in too deep? Are my numbers off? Would you have done this deal?

Let me know you're thoughts!