I’ve been a professional cameraman/photographer/video editor since 1996. Before that I was a Correctional Officer in a jail for almost 4 years. I still love photography but loathe the business. My wife and I have purchased 6 properties and are under contract for a seventh. When my wife retires we will scale up significantly. Most likely in Florida. We really see the value in Pinellas County, Clearwater specifically. My wife and I are also passionate cat lovers. We have 3. We love to travel also…Iceland is our favorite. Been 3 times.
Address: 1190 Grove Street/Clearwater, Fl 33755
Number of Units: 4
Value Add Deal? It was as far as being able to raise the rents but value of property hasn’t reached its potential yet.
Purchase Price: $775,000
Estimated monthly increase projected? Rents were raised 117% for the 2 one bedrooms and 150% for the 2 two bedrooms.
Anticipated value after value add: It has lost about $10k in value but we will hold for at least 5 years.
Estimated Cash on Cash Return: 5%
Estimated Internal Rate of Return: none
It’s just a great group of people. People willing to offer up their time, even if it’s seconds, is a HUGE help when you are a novice. Like I was then, and still am. Always learning but never afraid to ask for help.
I believe it was just searching on line.
Conventional loan… amortized over 30 years at
It was neither. My wife and I purchased it alone.
I believe my wife used some investment money for the down payment.
Price per door was higher than we wanted. Ended up being $193,750. So we didn’t want to pour a ton of money in CAP EX. But we realized we had to replace the roof in one unit and that was the biggest expenditure. Cleaning, painting and replacing light fixtures and faucets etc in all units was done also. The rents were ridiculously low when we purchased the property. $900 for the 1 BR/1BA and $1250 (117% increase) for the 2 BR/BA. After all of our improvements we were able to rent them out for $1950 for the 1 BR/BA and up to $2250 (150% increase) for the 2 BR/BA.
When tenants are transitioned out ALWAYS anticipate them leaving the property in disarray. Trashed even. It’s the standard FU to the new owners and their way of not appreciating being ‘forced’ out.
* These examples depicting income or earnings are NOT to be interpreted as common, typical, expected, or normal for an average student. Although we have numerous documented successful deals from our coaching students, we cannot track all of our students’ results, and therefore cannot provide a typical result. You should assume that the average person makes little to no money or could lose money as there is work and risk associated with investing in real estate. The students depicted have participated in Rod’s training and coaching. The participants shown are not paid for their stories.