Our main goal in our property purchasing and rehabbing business is a better life for everybody. Do you wonder how we do that by buying distressed properties? Today, I’ll tell you about how we have managed to help three different families with the same house in Cedar Park, Texas.
A Long Time Ago
Way back before we formed the Hermit Haus Redevelopment business, Lee and Sue Ann got a call from a friend, who said she knew someone desperate to sell a house, because she was leaving town, but did not have the time to spruce the place up to sell for top dollar. So, we said we’d look at it. When we did, we brought along our Realtor friend, Carol, who would later become our partner in this business.
The house was obviously well loved, but was quite full of furniture and stuff, plus it was infested with fleas. It was clear that the only way this house would sell would be to an investor. Hey, we were investors!
So, in return for paying less than retail for the house, the owner got money for her journey toward a new life, and did not have to worry about cleaning out her old house, making needed repairs, or doing landscape work. It was worth it to her!
Lee and Sue Ann worked with Carol to get the house into livable condition, knowing they already had a tenant lined up if they made the property a rental.
The Rental Phase
Once the house had been cleaned and repainted, it was rented out to the friend who referred the house to her, who’d lived nearby before. She and her partner were desperate to get out of a tiny apartment, but their employment situation made them not a candidate for most leases. Now, this is not a practice we recommend as professional investors, but we rented the house to them even though they both were doing contract work.
It all worked out, though, because they paid their rent and built their credit scores, plus they made improvements to the property over the years and kept the house in good repair. Meanwhile, it provided income to Lee and Sue Ann.
The Sale Phase
After living in the house for around five years, the tenants decided to move out of town to have a better life (and are now renting another of our properties!). Lee had always wanted to finish remodeling the house and put it up for sale, once these tenants moved away.
So, we brought Carol back in, this time with her project management hat on. We agreed on what improvements the house needed, and she hired an amazing general contractor to bring our vision to life. They finished on time and within budget, plus they know we’ll hire them again for our next project, making more people have a better life!
Carol adjusted her headgear and switched to the real estate skill set again, and set out to stage and sell the house. She’d done such a great job making the house appealing to many types of buyers, that we had multiple offers as soon as the house was on the market.
This means that yet another family will be happy in this same house. And we’ll each make some money, too. That’s a better life for everybody!