So in the story of entrepreneurs Here is a story about a deal that started bad and ended better, my name ...
So in the story of entrepreneurs Here is a story about a deal that started badly and ended better,
My name is Bracha, a senior information systems manager at a hi-tech company, in my free time I invest in real estate in the US, I do for me, my family, and I lend investors passive income from yielding assets.
In 2016 I purchased my first property in Cleveland, through an entrepreneur who completed the Robert Shemin program. I realized that if I wanted to expand my purchases, I needed to specialize and I also started the program in April 2016.
I started my way in North Carolina, Charlotte, Concord, and Gastonia, where properties were acquired already after 3 months in the program,
The deal is in a good neighborhood in Charlotte.
In October 2016, I found the deal through Hollsiller, sent the broker and property manager to find out a renovation appraisal.
The purchase cost including closing 109000. Even then the market value was 160000, the property belonged to a seller who was very stressed to sell his mother's house.
The property sits on an area of †<†<3 acres (rare in the area) including a garage / huge structure whose value 50000 dollars.
The renovation estimate was 45000. But there was a risk that plumbing / electricity should be replaced throughout the house.
My first flip, and there were lots of obstacles on the way, we discovered a lot of bumps on the way, so basically we changed everything .. The shackling of the electricity, the plumbing, the air conditioner, we actually dismantled the house and we rebuilt.
The numbers of the renovation have grown and we finished at 80000 USD redevelopment, when we needed city permits for each stage and finally the 4 form.
And all this when I was barely a year in this field and far away (of course I visited twice on the way).
At the end of the process, we were debating whether to sell or rent, in October 2017, we sent an appraiser because we decided to refinance the property. The bank valued the property at $222000 and we received a mortgage of $166000.
We rented the property for $1595. So CASH TO CASH we have a 15.2% return without calculating the increase in value. But only income minus operating expenses + mortgage.
Today the property is estimated as 240000 USD.
Just to add that we invested part of the money from the refinance in 2 more yielding properties in Cleveland, (properties we also purchased from foreclosure, we improved and rented) so here the yield is infinite :)) according to yield terms.
The bottom line - it was a difficult year, a year of many bumps to the investor starts, the contractor did not meet the times and time .. very long process .. but luckily there was a high value increase, and we are on the rise of property value.
Today investments are mainly in Cleveland, and in North Carolina.
Pictures before and after: Here too you can see.
Link to the original post in the United States Real Estate Forum on Facebook - Works on a desktop computer (To view the post must be members approved for the forum):
http://bit.ly/2ImtYhj
The original responses to the post can be read at the bottom of the current post page on the site or in the link to a post on Facebook and of course you are invited to join the discussion
Beautiful, great post!
Tomer Raviel
Bracha Light, thanks for sharing! Have fun hosting this week! Waiting to hear more ❤️ and thank you to outgoing host Yair Yunji for hosting a tame last week!
Very good, good luck
Hi Bracha, can you elaborate on Robert Shemin's program? If you have a link? Is it in the country/in the country? how long is it Thanks!
Hi, how are you?
Waiting for your posts
??
Great sharing
Wow ... well done!
Greetings Thank you for sharing!
You can ask how you did refinancing? I mean, who is the body that gave you the mortgage?
We got a great initiative! how fun
Dear Friends. We would like to thank our outgoing and wonderful “Entrepreneur of the Week” Yair Yunji, and welcome with applause the incoming “Entrepreneur of the Week” Bracha Light who will host us all in the forum for a week and we are sure her hospitality is something something! So congratulations we wish you all the best, strong and adopted world fame and good luck!
What a joy it was with Yair and Bracha!