BUY: We bought this property off-market using our own Cash.
RENOVATE: We did a full gut renovation of this property. We replaced the electrical, plumbing, roof, windows, installed new kitchens, bathrooms, carpet, paint, etc. The renovations took longer than expected, but after almost 12 months, we are almost at the finish line. One of the drawbacks of investing out of state is finding reliable contractors. Another challenge is managing the renovations from out of state.
RENT: In this video we’re interviewing a potential property manager. When you invest and own properties out of state, having a great property manager is critical to your success. The neighborhood where this particular property is located is transitioning, we speak a little about how some property managers were not willing to manage a property in this neighborhood. The ones who do will benefit.
REFINANCE: Once the renovations are complete, we will refinance into a long term mortgage.
Here’s the rough numbers on this one:
Purchase price: $50,000
Closing & Holding costs: $15,000
Rent: $650/unit x 4 units = $2,600/mo
Est appraised value after rehab: $240,000
Refinance at 70% of LTV: $168,000
Mortgage after refinance: $1200/mo
Gross cash flow: $1000-1400/mo
Investing in multifamily real estate out of state is not for the faint of heart. But like anything else it’s doable.
Stay tuned for future updates on this property once it’s rented and stabilized.
We’re already in the process of purchasing our next 12 units in Cleveland. Our target is to build a portfolio of hundreds of units in this market. Stay tuned, if you blink you might miss it!
★☆★ SUBSCRIBE TO DEDRIC & KRYSTAL POLITE’S YOUTUBE CHANNEL NOW ★☆★
To learn more about How to Build a 7-Figure Real Estate Investing business, and generate 10-20 deals/month using a predictable system for Wholesalers, Real Estate Investors & Agents. Go to https://www.drivingfordollarscourse.com/
AirBnb/Short Term Rental guide, https://www.mystrguide.com/sales-page1588004139396
If you enjoyed this video, give it a like, and share it with someone you think you could potentially benefit from it.
Dedric & Krystal are the rare keynote speakers & entrepreneurs that actually own & operate several highly profitable business ventures.
Dedric & Krystal’s availability is extremely limited. As such, they’re very selective and expensive! Send an email to request to book them to speak at your next event.
TOOLS WE USE EVERY DAY IN OUR BUSINESS
Deal Machine: www.getdealmachine.com
Get your First 30 postcards FREE!
Test Drive PropStream, The Most Powerful Real Estate Tool Available – Get a 7 day free Trial on Us! http://bit.ly/PolitePropertyData
REI RAIL : https://bit.ly/REIRAIL – Get $100 off signup fee
Phone Systems : http://www.callrail.com
Direct Mail – https://bit.ly/REIPrintMail2
Call Tools (Cold Calling System) – http://bit.ly/BePoliteCallTools
Connect with us:
For links to all of our resources go to: https://www.super.social/ss/bepoliteproperties
Dedric’s Instagram: www.instagram.com/dedricmrrealestate/
Krystal’s Instagram: www.instagram.com/MrsBePolite/
Dedric’s LinkedIn: www.linkedin.com/in/dedricpolite/
Krystal’s LinkedIn: www.linkedin.com/in/krystallbostick/