Atlanta - USA - Renovation

Here is our 1st rehab project in USA

What : SFR - single family residence - converting existing duplex in to SFR

When: Start Dec-2016. Projected Completion: end of Feb -2017

Where: Atlanta, Georgia US - within 10 miles of Downtown - right next to proposed beltline

Why: Quick turnaround during Xmas holidays

Project Numbers:

Buy; $110k
Rehab ; $50k
Misc ; $5k
Sell cost; $12k

Total cost ; $177k

Projected Resale: $225k - $240k (based on current comps)

Expected Profit: $48k -$63k

All $ Value in USD

 

Photos of existing Duplex

 

From duplex to SFR by knocking down some walls?

 

Good one BD!

Using all cash or finance?
No mention of tax?

 

Looks good. What were your closing costs on the purchase and anticipated holding costs?

 

@D.T.

All cash.

Needless to say projected profit is before tax.

Property tax are calcuted in Misc.

 

Typically 2℅ of property purchase price - again subject to 100 other things. i.e lien, title examination, recording,etc.

In my calc - closing cost is included.

 

I love the style of of it - beautiful windows, chunky architraves and do they call that a Craftsman style exterior?

What will the rehab plan be? New kitchens, bathrooms, paint and .....?

 

It's a good looking house looking foward to more photos! Hardwood underneath plus black trims?

 

Rehab will be extensive from -

plumbing repairs
new bathroom
new kitchen
painting
replace roof shingles
repair cornices
refurbish all wood flooring
replace electrical

We have our own team, that is half the battle finding good people on the ground in a hot market can be a challenge

 

There are some amazing historic homes in this precinct and the larger homes command a huge price

 

That's correct, we have an architect on board who redesigned floor plan, smart guy.

He is currently doing the same with a quad we purchased, that is a 4 unit block.

Reverting this old lady to one huge 5 bedroom home WHY.? because there big dollars/profits going this way, from the comps we have run

 

On my way back to Sydney for Xmas but have a team on the ground working on this project with updates and a project manager on the ground. Will be going back to Atlanta in the New year, the plan is to set up office here. Purchased a block in the city and will be building in 2017

We also just purchased another rehab for a client, and in the process of gutting the property, same team will be used on both projects. As we move forward we may require another team. Helps if you can speak Spanish. Costs of trades/contractors much lower base than what we pay in Aus

Will start another post on this project shortly.

Looking forward to some Nice sunny weather, Atlanta freezing at this time of year

 

I had a quick look at Trulia app...properties ranging from $38k to $300k...the lower end are dumps. Guess if the bones are good still worth rehab. It would be cool to go a tour with you.

 

Great to hear you have some trusted trades there, when I lived in the US getting reliable trades was really hard and everyone used to complain about dodgy contractors.

The street you have bought on has a lot of derelict/rundown and foreclosed houses on it going quite cheap, will they affect revaluation or is the plan to buy a number on that same road and do them all up? Do you forsee any issues with security on the property and for stuff getting stolen from site?

 

This is our own personal project and we are trialling the contractor, same as what we would be doing in Australia. So far so good and we have an experienced project manager on the ground overseeing the project. The idea is to use this contactor/builder for our 5 townhouse development which starts early 2017

We own a few properties on this street. Got to love gentrification, anything sub 300k flys out the door.... hottest precinct in Atlanta. Local investors have been jumping into the belt line.

At minimal cost we have set up security T mobile unlimited LTE data.

I will be posting the architects plans/layout for everyone to view shortly

 

Join us, we have 3 clients coming over in Feb 2017 we can have a meet up and a tour. in Atlanta, and besides they make the best Margarita in the world

 

Draft floor plan:

 

Hi @Be Developer following this thread and your renovation story with interest. I just googled the beltline and the map shows it circumnavigating downtown and midtown.

Are you familiar with the street car line in Sweet Auburn precinct near Georgia State University? Is it gentrifying? Any thoughts and insights would be welcome as you're on the ground there and probably hit the streets in those areas.

 

Sorry mate, I'm confused. Is this the before or after ? It looks SFR layout but says existing?