There is no shortage of work. In fact, it can be quite intimidating at first glance. This is why it is extremely important to see continued progress. The stretch goal is to have all the repairs done by June. I wish to have it occupied shortly thereafter.
The entire rehabilitation effort has been very arduous, but quite educational. It is very rewarding to see real progress. The roof was the first large project, and was completed in roughly one week. The second major task will be plastering and painting.
I have replaced the furnace and hot water heater. Basically, the entire plumbing needed to be replaced. The water supply lines were run using c-pvc, which is not code in most states.
When pvc burns, it becomes a very noxious poisonous gas called Polyhydrochloride. So, I had all of it removed, and replaced with copper. I will need to replace some of the connections to various fixtures (laundry tub, toilet flowmaster).
Luckily, I have been introduced to much skilled (albeit unlicensed), laborers. Plumbing, plastering, and roofers. The power of networking is immense.
Once the repairs are complete, I'll re-finance the loan and pull the equity out and repeat the process on another distressed property. Instant equity position. Very nice..
Al very interesting. I hope everything works out for you. Getting good contractors will be you biggest challenge. Whether license or not WATCH THEM. Some of them are worse than used car salesman. Also make sure you check out a good accountant so that you can get the maximum deductions for all the home improvements that you are making. Good luck and I am proud of you. I will probably look at getting another property next year.
Quick question is the house directly in your name or have you thought about setting up a corporation? Something I read in a real estate book.
John Chris Miller
JC:
The first property will be in my name until I get the deed back from the city. I will then do what is called a "Quit Claim Deed". The property will then be placed under my S-Corp. All subsequent properties will be under the S-Corp.