He Rehabbed a Monster House...
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The video features an interview with Danny, a CPA from Highland Park, Illinois, who specializes in high-end rehabs and rental properties. Danny shares his experience with a property he found on the MLS listed for $450,000, which was an 1800s farmhouse that needed a lot of work. He and his team decided to do an addition to the house, which was the only way to make any money from it. The property was located next to 1.7 million dollar houses and was mainly listed for its land value. They acquired the property for $350,000 after writing a heartfelt letter to the owner expressing their love for the property and their vision to modernize it while preserving its original charm.
Danny shares how he funded the deal, which is an interesting topic for many people who struggle with coming up with the funds for their real estate deals. He used family and friends' money, renovated his dad's house, and added his home equity line to acquire the property. He also used equity in his personal houses as well as his rehabs or rentals to fund the rehab. The property needed $650,000 in rehab, and Danny shares that they thought it was only going to take $400,000, but they went over budget by a quarter.
Danny and his team finished the rehab of the property in the middle of the following year, which took about a year and a half of work. The project was big, and they had invested a million dollars into it. The property sold in 66 days, and they got it under contract on January 1st with multiple offers. They ended up selling it for $1.3 million without the buyer's commission, which was an extra $30,000. After paying the realtor and everything, Danny netted $196,000 in two years, which included paying himself for all his time and education. Danny emphasizes that doing the finer touches and finishes is what sets them apart and allows them to sell their properties for double the current market value.
The video features an interview with Danny, a CPA from Highland Park, Illinois, who specializes in h