Al C. Flips a 7 Unit Rental
Al C. has been in construction his whole life, undertaking several successful flipping projects. When he came across a seven unit rental property in the Temple University Hospital area selling for $50,000, he knew that this was a project he could sink his teeth into.
There was only one problem. The property was going to be a full on renovation. Everything needed updating, from the kitchen and bathroom, to new carpeting and numerous exterior repairs. Top to bottom rehab.
There would be no issue with the renovation itself, but funding was going to be a challenge.
The total cost of repairs would be $100,000, meaning that he needed at least $150,000 between purchase and rehab to make it happen. He needed to find a lending company that would help him quickly and make the process easy. He reached out to Rehab Financial Group and spoke to us about his property.
Within one week Al had secured funding and was able to purchase the property.
The quick approval process is crucial for Al, who says that in the fast moving real estate market every day spent waiting for loan approval can derail your project.
“If you don’t move fast then you won’t close the deal.”
Al finished the rehab in time and within the budget, and was able to refinance the property so that he can rent the units to the local Temple University students. This allows him ongoing monthly rental income with which to pay off the cost of the project, and ultimately recurring income for as long as he owns the property.
“When they say they’ll do it, they’ll get it done.”