I purchased this property back in 2015 as turnkey rental.It was a B class rental in B- location and rented for about $850 a month.
It was a very stable property for a few years but in 2019 we had to evict the tenant who left this.
When I tried to put in a claim in the insurance company a couple months to get back to me with a really lame “sorry but we can’t help you” letter. Apparently vandalism is not covered. I even got the aid of our commercial insurance adjuster that I helped us with a $400,000 fire damage claim on our 114-Unit Apartment complex in Atlanta. His response is that SFH policies just are not as robust as commercial policies.
Scope of Work
$3,450 -Interior and exterior clean up. Overgrown lawn and bushes. Pressure wash exterior. Exclude 55 gallon oil drums- 19.07.13
$20,000 Payment #1/2 – Replace garage door Roof Repair Replace floors Drywall repair and paint Carpentry Plumbing Electrical Exterior carpentry repairs Exterior Paint Repair/Replace/Paint cabinets – 19.07.23
$1,800 – some jackass broke my windows during rehab process – 19.08.05
$7,800 – Payment #2/2 – Replace garage door Roof Repair Replace floors Drywall repair and paint Carpentry Plumbing Electrical Exterior carpentry repairs Exterior Paint Repair/Replace/Paint cabinets – 19.08.08
$4,250 -Remove and Replace HVAC system – 19.08.14
$400 – Remove materials – 19.08.16
The buyer sort of played me a bit as a tad-desperate seller. I wanted to get out of the deal and move to just better deals with less of the aforementioned BS. This is called “re-trading” where the buy goes under-contract with all cash offer but then starts to make demands for repairs. I know its all part of “the game” but this is again why I don’t like messing around with SFH people since they like to waste their time. It reminds me when I was at my W2 job and had to sit through stupid meetings where other people were just trying to create more work.
Onward and Upward
Now I can take this money and go into one or two syndications!