Many know GNGR purchased a house that includes a larger studio (cost $120,000). The fixer upper needed complete upgrades in order to move in. Having made LOTS of inventory so we can continue selling while making the move, interesting things happened. I (Grant) decided to attempt to do ALL the renovations myself. WIth little but some knowledge of construction, tile work, flooring, plumbing and electrical, I decided to use what artistic ability and smarts to take on the entire project. Why am I mentioning this? Because GNGR now has the opportunity to purchase 2 more home in the same area for the same price. Again why do this?
After buying the house for $120,000 in horrible condition (see images) and with quotes upwards of $50,000+ to do new kitchen, baths, floors appliances, fixtures, stairs and just about everything from floor moldings to railings, I decided to go it alone and with GREAT results. See figures below.
Quote to do just the major work was $50,000+ that did not included painting or appliances or decorative things like new ceiling fans, Just the flooring, wood tile and plumbing work.
SO far ALL the before and after work has cost me UNDER $4000! And im about 90% done with the big dollar projects.
- Porcelain Spain tiles in kitchen and dining room $600
- Real solid bamboo wood in living room $400
- New unused $600 gas stove from local craigs list $50!!! (owner wanted electric in her new home)
- Other appliances $600
- Kitchen galaxy counter tops and back splash (have to install the back splash next week) Home Depot quote $2900 our cost $300
- All new oak stairs with mosaic tile we applied to panes on stairs (Quote for both sets of stairs $4500 our cost $500)
- Quote for the needed plumbing was $5000 (I did it all for under $500) Soldering and welding was easy being our company is similar.
- Plus paint and other supplies we are under $4000 (far less than $50,000)
SO Here is the good part! We paid $120,000 and a Realtor who sold the house next door for $240,000 ( which did not have the nice upgrades) said she would like to buy the house even in its 90% unfinished state for $225,000 (A $101,000 profit after my $4000 costs to fix up) We declined but are considering putting it up for sale when im done as house price here rose about 6% in the last month. We could ask $300,000 and likely sell it for $260,000 in new condition. GNGR would consider this part of our company but for now its just an idea with profitable merit. Of course this test investment house as well all future purchases will bear the GNGR gold and green colors.
If we rent it out and buy the 2 other homes, fix them up and rent them, GNGR would have additional income from rental profits but to be a landlord is something I would likely not want to be so flipping them would be best. For now we are focused on our jewelry sales and expansion BUT this does raise some prospects for an added benefit to GNGR. Well see stay tuned. (see images below before and after)