Narrow Escape

I'm sharing a recent BRRRR close that was a high-risk, high-reward deal in the desert southwest. The numbers: purchase price $420k, rehab cost $120k, refi appraisal $620k. We left $80k in capital, a 20% cushion. This deal was a close call - we underestimated rehba costs by $20k, but thankfully, the appraisal came in higher than expected. Lesson learned: always pad rehab budgets by 10-15% for unexpected expenses. Ahead of the curve, we're seeig a surge in demand for single-family homes in the region, with median sales prices up 15% YoY. It's essenntial to stay vigilant and adapt to changing market conditions. This deal could have gone sideways, but our team's expertise and data-driven approach saved the day. We're looking to replicate this success with our next project, focusing on maximizing returns whiel minimizing risk.