Saturday, 6 February 2016

Bungalow to Duplex! Plans and Progress?

Getting Going

As I mentioned in my last post we put in an offer on a house and it was accepted. Since that time things have been a little hectic with much to do. First was to finalize the deal by getting the inspection done.

Moving along

The Basement Plan
The inspection went well with nothing major found. The basement is concrete blocks and there was minor water damage but water diversion can fix that, there are several junction boxes and some bad wiring. There may be some asbestos in the basement ceiling tiles, floor tiles and heater vent insulation but we sent some samples in so we are hoping to get the results soon. Although these issues were identified they were not enough to make us walk away so with that the deal was finalized and we moved on to the next steps in a long list.  We had an architect in to measure the basement and draft up some plans. We discussed with  her what we were looking for and received some tips and suggestions from her for the basement and upstairs. A furnace contractor also came by so we could find out not only the replacement cost but also to see about moving the location slightly. Replacing the system which is 20 yrs old only makes sense if we are able to adjust the location to give more livable space in the suite. Otherwise we could just wait and save the cost until it is actually broken but a little pre-planning will probably save us a much larger "emergency" cost down the road anyway.

So, what's next?

Well, we still don't actually have possession but we will on the 9th of February. We are going to have three General Contractors into see the space and the rough plans that we have from the architect. Hopefully their quotes will be in line with what we are expecting. We are also going to have a couple more furnace people in. The more quotes to chose form the better, right? 

I can't wait to get in there! I have an extreme amount of excitement and apprehension that has been causing many sleepless nights. Hopefully the apprehension will subside once the plan is in high speed. 

Stay with us to learn if this gamble is worth the risk, if it works out I may convince you to to turn a bungalow into a duplex. Until next time!

Check out Bungalow to duplex , or How I paid off my mortgage journey for more info.

Do you have a story you want to tell, leave me a comment, I would love to hear about it!

Saturday, 23 January 2016

Bungalow to Duplex! Now for the inspection!

Back of house with basement entry

We became real estate investors in 2009. Since then we have slowly grown our portfolio to 3 units. Until this time we have always looked at small nice single family homes. This is where we step into what will hopefully be a more lucrative type of investment and we explained that in our last post Bungalow to Duplex!

Putting in the offer

We put our max offer and our agent presented it this way. The offer was not accepted and they countered $10K below the asking price so we decided to walk on 13 Jan. On 15 Jan the sellers agent asked us if we would consider submitting the offer again because the seller (the bank because it is power of sale) would like to review it again. So in went the offer with the only change being the possession date due to the quick closing. After a non-revocable period of 48 hrs and it being a bank they signed back on the 19th of Jan and we agreed on the 20th.

Awaiting the Inspection

Now that the bungalow is conditional we are getting our ducks in a row and finding a good architect/designer for the basement apartment and a contractor to oversee the renos. I had originally planned to do a lot of the work myself but considering I work full time and would only have the evenings and weekends for this reno and after figuring out what it would cost a month to have the property empty or at least partially, we decided on a contractor. If there is an opportunity for me to get in there and get dirty I will still take it but for now I am leaving it up to the experts. The home inspection is booked and we look forward to meeting with our awesome inspector on the 24th of Jan and once we have completed that we will start planning for everything else so that we can be prepared for our 9 Feb possession date.

Stay tuned for more updates!

Do you have a story you want to tell, leave me a comment, I would love to hear about it!