This single-family home (SFH) was built 1969 with 3-bedrooms, 2-bathrooms and is located in the Energy Corridor in Houston, TX. This rental asset typically attracts young couple with small daycare age kids due to the proximity to work centers and family amenities. The tenant base in this area is Class B and fairly stable.
For this Business case, the investor chose to hold the asset 2yrs before refinancing. Most investors would refinance at the minimum hold time in order to turn their cash and repeat the BRRRR.
Location – Energy Corridor in Houston, TX
Strategy – BRRRR
Date Acquired – Apr 2019
Date Refinanced – Apr 2021
(Net of Fees)
Acquisition Price – $182k
Renovations Cost – $59k
Total Cost – $241k
Loan Type – Cash purchase with cash renovations
Appraised Value Apr ‘21 – $325k which yield $244k loan
Hold Time – 2yrs
Yearly Forced & Natural Appreciation 24%
Once refinanced this investor has recouped all of his capital invested and now has a near infinite return-on-cash (ROC).
10497 Town and Country Way, Suite 700
Houston, TX 77024
Email: info@hnbrealty.com
Phone: (281) 201-3710
Working Hours
Mon-Fri: 9:00 AM – 5:00 PM
Disclosure
HNB Realty is a licensed real estate broker in Texas. We do not provide financial or legal advice.
Past performance is no guarantee of future results. Any historical returns, expected returns, or probability projections are not guaranteed and may not reflect actual future performance.
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