All Forum Posts by: Ben Scott

Investment Info:

Single-family residence other investment.

Cash invested: $30,000

Remodel we managed for a client who owned a home free and clear. The previous tenant passed away and the home had been vacant for 6 months. Includes before and after pictures. We leased this one quickly at $950/month. Two bed/one bath, 900 sq ft in Bethany, OK.
Total spend:
$6075 in supplies (water tank, garage door, flooring, paint)
$13175 in labor (two week rehab with full crew)

What made you interested in investing in this type of deal?

We manage this for the owner and had to get people to take action to bring a vacant home back to life.

How did you finance this deal?

We bank rolled and managed the rehab and were reimbursed by the owner.

How did you add value to the deal?

New flooring, paint, counter tops and completely new kitchen. New garage door. Replaced soffit vents. Installed roof on outbuilding.

What was the outcome?

One year lease for $950/month for a 2/1 in Bethany schools

Lessons learned? Challenges?

Older owners perception of current labor costs.

Hey @David Graham, are these on the MLS?

Thanks @Jared Galde, what are one or two things someone should know before jumping in to that venture?

Thanks for the insight. Many of the folks on our handyman crew live in sober living and they've encouraged me to pursue it.

I'm curious if anyone in the BP community has had experience - good or bad - with renting to sober living tenants. I understand there is some accrediation you need and that you can rent by the room. 

Spitballing here ... but would there be an ethical scenario to create a white label Handyman Remodeling business that pays the vendor and bills the owner with a small mark up? Of course this would be disclosed. But it might make billing and invoicing more clear.

Curious if anyone has experience with that. Another PM in my market started his own HVAC company for this reason.

I can send you the one we created. DM me your email.

While a Class A property won't cash flow like a C or D, you'll have more stable tenants and less maintenance issues. The low income houses look great on a spreadsheet but you're subject to repairs, vacancy, evictions, etc. I'd move forward for the appreciation opportunity and the tax benefits.

Oklahoma City is a solid market. Good employment prospects, landlord friendly state and home to the NBA champions!

There are several builders that offer new builds in areas with good schools under $250k

I'm current building a duplex in Edmond, the suburb north of Oklahoma City

My biggest hurdles:

The public utility made us pay to remove their utility pole from the lot so we could bury the lines. Then took their sweet time to remove it so we had to run on generators to get any work done

We have had a wet summer so all the cement contractors as behind. That's been at least a month delay.

There was currently one water meter on the property (it used to have a single family house) but we had to add a second water meter since the property is a duplex. This involved tearing up the street to tap into the main. Only a few vendors are licensed to do this and they can charge whatever they want.

Other than that, it's been fairly painless. I left the builder handle everything.