All Forum Posts by: Ayne C.

@Mary Mitchell Many reasons, here are two big ones: They are in a time crunch and need their cash asap. They house needs a lot of repair before passing inspection.

I was under the understanding that there's general ledger software (QuickBooks, fresh books) and there's property management software (Buildium, cozy).  Please correct me if the wrong.   Because I use a property management company I thought I just needed the first kind (QuickBooks in my case) to facilitate record keeping for my accountant.  Is that accurate,?

I would refinish them myself, like the above commenter described.

But if they look ok enough to rent I'd leave it as it is.

I have no advise but eeek I'm so excited you are jumping from 2plex to 10plex!

How will you finance this?

I have my contractor come out and scope the work and give me a bottom line number.  Then he follows up with a bid and if it's a big job we do a 3 draw schedule that looks like this:

Draw 1 one third of total

Cleanup, change floors, the roof, etc....

Draw 2 one third of total

Work on xyz..... Finish job.

Draw 3

I also come out at least before each draw to check the work.

On smaller jobs there is no schedule.  I simply let him do the work and bill me after per the quote.

Speed has never been an issue but if it was I would add a bonus for completion by xyz timeframe.

@Alyssa Kroeker You might want to change your BP name to Alyssa K. in case the applicant Googles you and this comes up.

@Allan Smith Thanks for your answer. I'm asking because in my local contractors' lingo, rehab bids are either for "fix and flip" or for "rental ready". In the first case you would do granite, fancy pendant lighting, wood tile floors, stainless steel appliances. In the second case, you would keep existing floor plan, make the paint very neutral, cost effective flooring, builder grade materials, etc.

My most recent property should cost about $20,000 to get to rental-ready condition (floors, repairs, new vanities, change out all lights and fans, paint, bathroom refinishing, drywall, cleanup) or about $45,000 to truly change our all finished and end up with a wow factor. So my question is, for the BRRRR strategy, are we aiming to provide a clean and repaired home or are we looking to wow the tenant? My personal goal is to get top rent so I actually walked the property with my property manager and we went over the changes that were needed and needed the ones that did not matter in terms of top rent. Just curious on everyone's understanding of the BRRRR strategy.

@Adrian Smude Personally, I would not do anything more than a card with my signature. But you could do a champagne or wine bottle.... It's a classic gift that never gets old.

@Michael Wagner Thank you so much for that!! This community is great. I am so out of my element here and I need to cash out refinance my two BRRRR before I make a move to learn something new.