Hey so remember this beach home that i've been remodeling since, like september of 2020 yeah. That's because i got stuck dealing with this city, but hey at least. We got to film millennial money on cnbc, make it at this house that was pretty cool, especially since lauren, and i got to film that together, but anyway we bought this house in september of 2020.. It was supposed to be a rental property, maybe even an airbnb, and we bought it totally stripped for 1.335 million dollars completely empty.

That's because the prior people spent about two years trying to remodel it and get permits and they got burned out not a surprise, because i had to wait myself about 22 months to get the permits just to bring this thing to market. And i didn't even do the crazy job that they wanted to do. I just wanted to put in two headers and replace the doors and windows and the city drug me along for 20 months to do that, which is absolutely insane. The other people wanted to add a second story and expand the property.

No wonder it took them a lot longer anyway. Here are some of the things and costs that we had to go through, which one of the cool things about this is you're. Gon na see a little bit of where we like to spend money and where we like to save money, which is a lot of what we talk about in the real estate, investing course and do-it-yourself. Property management course, which has an expiring coupon code for tonight.

And then the prices take up again that way you get our benefits of our lowe's partnership and all of the tips and tricks that we have for real estate. Renovating, let's go through the before and after so first we spent a total of ten thousand dollars doing drywall the first time around and unfortunately because the city well got involved after we kind of started doing some drywall, it kind of made us take some parts of It back down, we had to spend another seven thousand dollars. Then we did some exterior paint which cost us about six thousand dollars for labor and material. We did flooring downstairs, which ended up costing us about five thousand five hundred dollars and the fireplace uh with those a little bit of labor and material, probably cost us about seven hundred bucks.

We ended up throwing in new appliances, counter tops and cabinets. That was all just under 14 000 and we added a laundry room here which used to be an exterior utility closet. That was, i think, really great added value cost us about three thousand dollars. We did the flooring upstairs, which cost us about two thousand dollars.

Now we could have continued doing the same flooring that we had downstairs that waterproof vinyl flooring, which is pretty amazing, but we decided to go with carpet mostly because we really enjoy the feeling of carpet upstairs and, let's be real. It also saves a little bit of money. Now we also replaced all the hardware, as we generally do. Cost is about 800 bucks for all the new hinges and hardware on the doors we added a wall in the master, since the master was one big room.

We wanted to turn the house back into what it originally was: a three bedroom two bath, so that cost us about a thousand bucks. Then the first bathroom we completely renovated for about three 000 bucks and given that it was all the way down to the studs. Like this, i can't wait to show you what it costs we spent about 4 500 bucks in the second bathroom and, of course, got ourselves some boob lights. You know those are about 30 bucks for a packet too anyway, the back wall and the master was a little expensive because they kind of made us redo some of the stuff.

Even though we had a licensed engineer help us the first time around. They wanted us to go above and beyond, and even though we had when we had our engineer the first time, they wanted to go even further and, of course we obliged, because you have a choice. You can wait 20 months for a permit and do it their way or you can wait five years and probably still do it their way after fighting anyway, we got these awesome custom, exterior doors that cost about seven thousand dollars, and those are some of the big Expenses that we spent on the property now i'm pretty excited to show you the after, which remember when you see this after i'm a big fan of quality and safety and making sure the dollar goes as far as possible. So remember: we bought this for 13.35.

We've listed the property for 1.9 million dollars which not considering renovations is about a difference of 565 000. Now, obviously, we had to hold the property for about 20 months, plus our time frame and closing so they're going to be some expenses for that. But let's go ahead and take a look at the after. So first here we go.

This is the downstairs. We really believe the flooring we added easily 3xed our money. We think we did a really great job, putting this place together and after all, a buyer. Now doesn't have to worry about it; they don't have to go through 20 months of headache to deal with all this stuff.

The kitchen probably adds about 30 000 of value and note we spent about half of that now. The laundry room we think adds at least fifteen thousand dollars worth of value, and it only costs us about three to do it, which is awesome, because the plumbing hookups were already there. On the other side, uh flooring, probably a 3x on the carpet painting carpet - tends to get you a big 3x bathroom costs. Definitely having a completed bathroom for three thousand dollars probably adds about ten thousand dollars of value, not even considering the fact that we also next door added a whole new room.

Now, adding the wall wasn't the best return on investment because adding the wall along with opening up the kitchen a little bit. You know these things probably cost us about 40 dollars in paperwork plus the time so really adding the wall and all the home permits. Maybe added a hundred thousand dollars of value as well, as you know, making sure we had the permits, but boy, oh boy, i'm not sure it was worth paperwork to go through all that, as it usually isn't, then, of course, ceiling fans. We think we add some great value with these ceiling.

Fans cost us about 150 bucks, a piece probably double on that the master bathroom looks absolutely amazing and to die for it cost us about five thousand dollars. We think we probably got a 3x on the value of how good this bathroom looks and, quite frankly, if we outsource this we'd probably have to pay somewhere around 25 to 30 000.. But a lot of the costs you're seeing here, are our ability to do these in-house or to use the tricks that we do to make sure we're buying right and that's really important and that's why, in our courses, we've got our partnership with lowe's to make sure We minimize our costs well and, of course, we've got three 15 dollar boob lights, creating about 65 dollars of value per light because come on who doesn't like boobs that create more value than what you spend on them now. What's amazing about the master bedroom is that it connects to the outside balcony, it's a perfect size and it's got its own hallway here with its own bathroom and a walk-in closet.

Now, in landscaping we added about seven thousand dollars and we think we added about twenty thousand dollars of value to the property and there you have it, there's our full restoration of this home that used to be completely into studs and turned it into a beautiful home. Now now to wrap it all up, we spent about a hundred and seven thousand four hundred fifty 450 on the project, plus we had holding costs waiting for those darn permits of somewhere around 80 000 being generous here with the numbers, meaning we're probably sitting around somewhere. Hopefully, of a gross profit of around 370 000 we're going to have closing costs, and since i'm representing myself as an agent, we expect those to be under sixty thousand dollars, which means this two-year project should be netting just over three hundred thousand dollars, which is very Fortunate, because if the market were going down and we had to wait 20 months for stupid permits, we'd be screwed now folks. If you want to prevent getting screwed in real estate, and you want to learn how to prevent all of the mistakes that i've made in the past learn exactly what to do, what not to do what to spend money on and what to spend money on.

Folks, join the programs on building your wealth link down below, consider bundling together the zero to millionaire program, and if you want to take it to the next level, the do-it-yourself property management and rental renovations program. We've got a coupon code expiring today, check it out, link down below prices, go up every time, the codes expire and they haven't come down since we've started this course. Four years ago.