62nd St, like many of our homes, was full rehab secured on from our direct distressed channel network.
The property had a half finished basement with water and foundation issues, the roof and all windows were in disrepair and had to be replaced.
We provided refinished wood floors, closed door way to create a new bedroom and added a tandem garage space in the basement with a new bedroom and bath.
Copper was missing home was completely replumbed. Property had a tenant offer in 5 days
Kansas City Real Estate Challenges
Biggest Challenges: 62nd St had significant foundation cracking and water issues. We applied a full epoxy injection and water vapor seal on all foundation cracks and added proper grading around the home to direct water away from the foundation successfully with our foundation company, KC Pier and treated the biologically treated the basement with KC Superior and Restoration and direct partnered company.
Labor, Materials, Insurance 32,000
2016 Appraised Value 112,500
2017 Appraised Value 118,000
Instant Equity 38,200
Monthly Rent $975
Cash on Close – Fees $10,000.00
Total Cash Invested $80,000.00
Monthly Rent $975.00
Property Taxes $152.83
Property Management Fee (10%) $97.50
Vacancy (10%) $97.50
Repairs (10%) $97.50
Total Monthly Expenses $511.58
Monthly Cash Flow (Monthly Rent – Monthly Expenses) $463.42
* KC Property Guys Investment Consultants understand there are many ways to calculate investment valuations. We tend to use more conservative scenarios. For example, 10% repairs on a turnkey investment tends to be high which work against displayed monthly cash flow, NOI and Cash on Cash valuations. Overall, we feel our approach is more transparent and appreciated overall by our investment partners.
Buy and Hold Real Estate Case Study Summary
Summary: 62nd Street was financially very successful. Overall the project was smooth. We had many tenant offers on the property. An overall great project directly from our channel network.
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