Inherited a property, looking for advice on how to capitalize

Hi Kaitlyn! Thanks so much for sharing your story and congrats on nearing the finish line of that renovation! You’ve already taken major strides by turning an inherited property into a potential income-producing asset, and your mindset around leveraging the equity is spot on.

With 5 acres, a paid-off home, and two additional structures with electricity already in place, you’re sitting on a high-potential mini compound and there are several creative directions you could take depending on your goals.

Here are a few thoughts and strategies to consider:

1. BRRRR Style rrefinance

A DSCR loan could be a great fit, especially since you won't be living in the property. Many DSCR lenders won't underwrite based on your personal income but instead look at the rental income the property can generate. If the home appraises well post-renovation, you could pull cash out, pay off your family loan, and potentially have capital left to invest in another property.

2. convert to a Multi Income Property

• ADU Conversion: If zoning allows, converting the garage or barn into an ADU or short-term rental could significantly increase your monthly income and allow you to truly maximize the property's footprint.

• Mid-term Rentals: Given your location near Asheville and proximity to the French Broad River, mid-term furnished rentals for travel nurses or remote workers could be very lucrative.

3. Sub Division or Land Sale

If you’re comfortable parting with some of the acreage, subdividing and selling a portion could give you fast capital with no debt, which might be a great option if you’re still in transition with your new job. Just be sure to check with Buncombe County zoning and planning about feasibility.

• Get a local appraisal or at least a CMA from an investor-friendly agent to understand your property's after-reno value.

• Talk to a DSCR lender now to get pre-qualified based on rental income projections.

• Consider connecting with a land-use planner or local zoning expert before committing to subdividing or converting any structure.

I’m happy to connect you with resources or help you talk through your goals more specifically. You’ve got a really special asset, the key is aligning the strategy with both your short-term cash needs and your long-term wealth-building vision.

Wishing you the best as you move forward and seriously, you’re doing an amazing job navigating a tough situation with creativity and grit!

Best Regards, Laura Navaquin
Investor | BRRRR Strategy Coach | Advocate for Creative Financing