Breakdown of a $30k Rental Purchase: Pre-Renovation [Video!]

by | BiggerPockets.com

I acquired this deal through a postcard.

The seller was highly motivated to sell. Unfortunately, they had health issues and could no longer maintain upkeep on the property.

Watch the video to learn more about the pre-renovation phase of this deal!

Pre-Renovation Video Walkthrough

Rehab Plans

The exterior renovations will include a roof replacement, power washing to refresh siding, storm windows installation, landscaping. Interior upgrades will consist of flooring installation, a two-tone paint scheme, a new furnace, kitchen cabinetry reconfiguring, and a bathroom finish-out. I will share the scope of work in next video.

Stay tuned on updates. Happy investing.

 

Any questions about this deal? Do you invest in $30k real estate? Why or why not?

Leave your questions and comments below!

About Author

Sterling White

Sterling White started in the real estate industry at a early age back in 2009. The company he co-founded Holdfolio is a real estate crowdfunding platform based in the Indianapolis market. Before founding Holdfolio Sterling and partner Jacob Blackett were involved in the purchasing and selling of 100+ single family homes nationwide. In his free-time he trains for a World Record.

26 Comments

  1. Patrick Liska

    Sterling,
    Know you had to put in a hot water heater because the one was gone and you are installing a new furnace. i agree that the roof needed to be replaced, aside from the other work that you are doing there, i feel, no matter where the property is if any of those 3 components are older that 15- 20 years, they should be replaced if you are doing a major renovation like that. new equipment and roof now will save you headaches and money in the long run. just having the piece of mind that the equipment is new and up to date is always good and you know that you will have about 15 years before you have problems and have to fix them or buy new.

  2. David Carr

    Sterling, great video! I really like how you explain your plan starting exterior to interior in detail. This property reminds me in some part of my first rental property I rehabbed just in terms of the overall plan how it looked initially. I’m really excited to see how this turns out! Keep up the good work.

    • Sterling White

      C neighborhood. The city plans to invest money in this location due to the nearby Children’s Museum. I expect the neighborhood to increase to a C+/B- neighborhood in the next 5-7 years through those improvements.

      Morris Invest has a turn-key model from my understanding. That is not the model I work under.

      Hope that helps answer your question, Glenn.

    • Sterling White

      Determining the grade on a neighborhood can be subjective. Here’s some qualities to help formulate a grade.

      A: Newly built properties. Mainly homeowners in location.
      B: Slightly older properties in area. People still taking care of their homes. Mostly homeowners.
      C: Older properties. Likely really could use some work. More renters in setting generally.
      D: Run down properties in area. Multiple boarded up houses throughout streets.

      Hope that helps. And yes, I plan to do a post rehab video.

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