Many investors live by the saying that “money is made in the buy”. Using a real estate agent familiar with the area in which you’re looking to invest can help you purchase properties under market value, leaving you extra equity in the property from day 1.
Renovating the property helps increase the property’s overall value. The renovation includes fixing deficiencies, updating the interior and exterior finishes, and adding additional units to ensure the best use of the property.
Once renovations are complete, waste no time selecting the right tenants to fill the units in your property. Ensure that the rents that you are charging take into account the new mortgage payment you will end up with at the refinance stage to ensure a positive cash flow.
Once the property has been renovated and the value increased, contact me to see if you are eligible to refinance the mortgage up to 80% of its value. Leveraging your investment again can allow you to withdraw much of your renovation costs and in some cases all of your renovation costs, down payment and a profit on top.
This is a highly effective investment strategy and should be used over and over as you build your portfolio!
Reach out to me today for any questions you might have.