All Forum Posts by: Ahmad Abotteen
Ahmad Abotteen has started 2 posts and replied 2 times.
Post: Full re-build of a Single-Family Home
- Long Beach, CA
- Posts 2
- Votes 0
Investment Info:
Single-family residence buy & hold investment.
Purchase price: $53,000
Cash invested: $121,000
Originally a 3 bedroom 1 bathroom home with an unfinished basement that was destroyed by animals when I first bought it. Property is currently a 5 bedroom 2.5 bathroom home with stucco finishes, composite deck, and a concrete front porch. 95% of the work completed was done by myself and team.
What made you interested in investing in this type of deal?
Property was purchased to avoid a hefty tax bill in 2016 and I took my time rebuilding it to sharpen my construction & carpenter skills.
How did you find this deal and how did you negotiate it?
Property was selling in my mothers neighborhood by the owner.
How did you finance this deal?
Cash Purchase and financed all repairs myself.
How did you add value to the deal?
Home prices were over $100k in the area but this one was less than half the value.
What was the outcome?
Property is rented for $1700/month and property refinanced in 2023 to pull out cash. Appraised value in 2023 was $201,000.
Lessons learned? Challenges?
If you're planning on self financing and do the work, expect delays.
Did you work with any real estate professionals (agents, lenders, etc.) that you'd recommend to others?
Kiavi is our lender. They have pretty competitive rates vs other lenders in 2023.
Post: Single-family Home Conversion to a Multi-Family
- Long Beach, CA
- Posts 2
- Votes 0
Investment Info:
Single-family residence buy & hold investment.
Purchase price: $520,000
Cash invested: $175,000
Purchased this 800 SQFT single family home and CURRENTLY converting it into (2) units with 2beds/1bath each. Permit approval took 1 year and 5 months.
What made you interested in investing in this type of deal?
California's new ADU laws.
How did you finance this deal?
Conventional Loan, 30 year fixed.
How did you add value to the deal?
Adding an attached 2nd unit to the back of the property.
What was the outcome?
In progress, plans approved, construction started.
Lessons learned? Challenges?
Municipalities in California don't take Governors mandate serious to turn these plans to add ADU's in 30 days. It took 1 year and 5 months to get plans approved to add the 2nd unit.