181 Kribs Street
Hespeler, Ontario
When We Started
This property was rough. Its entire main floor was in terrible condition and the basement was as well. There was a flooding problem, roof needed to be replaced, eavestroughs needed to be replaced, and the legal basement apartment needed to be done.
Why This Property?
We chose this property because it was in the best area of Cambridge. We knew demand was going to be there because of location alone. We took all the problems the property had as an opportunity that other investors didn’t want to deal with, that is why we got such a good deal on this property.
What We Did
First of all we fixed all the problems; fixed the flooding problem, new roof, new eavestroughs and new driveway. We also did a full gut renovation to the main floor and took out load bearing walls to open the entire space up. In the basement we took it back to concrete walls and did a legal 2-bedroom apartment there as well. Completing the renovations took around 4 months.
How We Increased Value
The legal basement apartment was the biggest value-add. Renovations to the main floor also helped increase overall value of the property.
The End Result
The main floor was the property got appraised for $995k, so after we refinanced and got 80% of it back, we got $796k. We were all in the property $670k ($494k purchase price, $176k in renovations and holding costs). So as you can see we got all of our down payment back, our renovations back and still made $126,000 out of the deal and still own the property.
- Purchase Price = $494,000
- Renovations + Holding Costs = $170,000
- ARV = $950,000
Gallery
