Hi All,
I am in the process of undergoing my first renovation in Texas on behalf of a client who I have sourced this property for.With all clients, we source properties which will provide them with the best return possible for there dollar.In this case, my clients budget was $65kUSD which had to include all associated fees etc.So we knew from the beginning what the budget was. It is my first "Buy, Renovate and Hold" project in Texas USA and thought I would share the journey with you. My contacts who source these deals also have a construction/building background and take care of all the work until fully renovated.
Anyway, a little background on the property and just before I forget, all figures stated are in USD. We picked the property up for $48KUSD. It is a single family home (double story) and about 50yrs old.It has 2 bedrooms upstairs and 1 bedroom downstairs.Very open planned with plenty of room.A little run down and definately required a little TLC.
After inspecting the property, my contact advised that there is potential to actually split up the home and turn it into a duplex, therefore turning this single family home into 2 seperate 2 bedroom units.He advised that we would need to install an external stairwell to gain access to the upstairs unit.A kitchen for upstairs an interal wall to create a second bedroom downstairs and to plaster the internal ceiling to fully seperate the two dwellings.Fully painting the property would aslo be required along with tidying up the garden etc. Anyway after negotiating with several suppliers, we have been quoted around 5KUSD in materials to do the work.In total it is costing my client $58kUSD to complete the project.The only other cost seperate to this was our fee.
He can expect a minimum rental on completion of $450USD per month on each unit.Not a bad return I say. Considering the city he has purchased in had a 5% capital growth in the last 12 months as well.
Anyway we will be commencing the renovation shortly and will keep you all posted on its progress and all the challenges we may have along the way.It is expected to take approximately 6 weeks to complete.On completion I will also post some before and after pictures for anyone who may be intereted.
Look out for future posts and updates.
Happy investing
Regards
Chad.
PS, I would also love to hear of any other experiences people may have had.
I am in the process of undergoing my first renovation in Texas on behalf of a client who I have sourced this property for.With all clients, we source properties which will provide them with the best return possible for there dollar.In this case, my clients budget was $65kUSD which had to include all associated fees etc.So we knew from the beginning what the budget was. It is my first "Buy, Renovate and Hold" project in Texas USA and thought I would share the journey with you. My contacts who source these deals also have a construction/building background and take care of all the work until fully renovated.
Anyway, a little background on the property and just before I forget, all figures stated are in USD. We picked the property up for $48KUSD. It is a single family home (double story) and about 50yrs old.It has 2 bedrooms upstairs and 1 bedroom downstairs.Very open planned with plenty of room.A little run down and definately required a little TLC.
After inspecting the property, my contact advised that there is potential to actually split up the home and turn it into a duplex, therefore turning this single family home into 2 seperate 2 bedroom units.He advised that we would need to install an external stairwell to gain access to the upstairs unit.A kitchen for upstairs an interal wall to create a second bedroom downstairs and to plaster the internal ceiling to fully seperate the two dwellings.Fully painting the property would aslo be required along with tidying up the garden etc. Anyway after negotiating with several suppliers, we have been quoted around 5KUSD in materials to do the work.In total it is costing my client $58kUSD to complete the project.The only other cost seperate to this was our fee.
He can expect a minimum rental on completion of $450USD per month on each unit.Not a bad return I say. Considering the city he has purchased in had a 5% capital growth in the last 12 months as well.
Anyway we will be commencing the renovation shortly and will keep you all posted on its progress and all the challenges we may have along the way.It is expected to take approximately 6 weeks to complete.On completion I will also post some before and after pictures for anyone who may be intereted.
Look out for future posts and updates.
Happy investing
Regards
Chad.
PS, I would also love to hear of any other experiences people may have had.
