All Forum Posts by: Carrie Giordano

That's awesome!!! I'm happy it worked out so well for you and your wife, good luck with the next one!!

I live in LA and receive yellow letter postcards at least once a week. I agree with

@Dev Horn use postcards (I throw out unopened letters that are unsolicited,) and put your photo on the card. 

@Casey DeCaire this property sounds like an amazing value add opportunity!!! I would start networking with the owner now, who knows maybe you could get seller financing.  It may be best to partner up with someone on this if you've never done it before. Plus, you'll need a fair amount of capital behind you to turn the building around. I don't think kicking everyone out would be in your best interest. I think you'll lose some tenants at turnover and then you rehab unit by unit. Some of the long term better tenants may resign there lease and move into the renovated apartments so you can rehab the old ones. Obviously, you would slowly be coming up to market value rents as well. Start also with common areas, you want people to know its new, better management. There are a few books on value add apartments investing that you should read if you haven't.

@Alex Applebee very cool! I love the small touches that made it your own like the stained glass window. Other than the prices being more affordable what made you choose Phoenix over something local? Will you continue to work in AZ or do a project in CA? 

@John Weidner I have definitely considered that, I know you can't rely on zillow prices but the current zestimate on the property is $89k. However, I would rather hold it for at least a few years and then trade up for a larger property. In the meantime, I think it's going to make a great rental and see some appreciation. 

@Timothy Murphy III thank you! This is on the east side in Lake 

@Timothy Murphy III thank you! This is on the east side in Lake County.

@John Weidner thanks! I look at Cleveland as more of cash flow. In this area there may be a bit of appreciation but I'm not counting on it as being significant. However, I bought this as a foreclosure and while I'm all in for 50k I believe I could resell it today for at least $75k.

Rehab Complete / House Rented! 

The project is complete and the house is rented! This was probably the easiest rehab I have done however I had more experience and was definitely more prepared. I'm happy with the outcome and can't wait to find my next project.

TIMELINE

May 10- Bid on house

June 18- Closed on house

June 23-29 - Rehabbed house

July 3 - PM listed house

July 23 - PM informed me house is rented

Aug 15 - Tenant move in date

REHAB COSTS

• Gutters-$596
• Soffits/ Facias -$1800
• Gravel -$147
• Yardwork -$25
• Electrical -$125
• Plumbing -$200
• HVAC -$170
• Painting -$1284
• Backdoor- $360
• Appliance Repair -$175
• Appliances -$841 (After $100 credit for delays)
• Handyman -$158
• Home Depot -$27
• Lowes -$407
• Ace Hardware -$102

Total =$6417

Additional costs until rented

• Lawn service - Roughly -$80
• Utilities - Roughly $175

Total=$155

• Purchase Price:$42,500
• Closing Costs:$1,456
• Rehab-$6,417
• Utilites/Maint-$155

Total=$50,528

Rent=$875

Start to educate yourself on your market. First decide what price point you can afford and what target area you will look for deals in, then watch that area every day.  Start networking with other investors in the area. Decide whether you're interested in sfh of multi and whether you will manage it your hire a pm. Do you want a turnkey or a fixer? If it's a fixer who is going to do the work? Start asking yourself all of these questions. Once you know the answers it will help you determine your goals and then you can take action on them.