We finally closed on 4511 Gillis on June 20th. This was a fun project and a great house. As usual Scott Cason of the Austin Rebuild Team did a great job on the design and construction. Brenda and I were tempted to keep this one and move back to South Austin where we bought our first house over 30 years ago.
We didn’t do quite as well as we had hoped due to the appraisal which came in well below the contracted price. The problem was that there were no homes of a similar size in the area, and the appraisal only allowed $35 per foot for the additional space. The next project in that patch will be able to take advantage of our benchmark though, so the area will continue to appreciate.
In spite of this it was a profitable project with gross profit of 18% which we split 50/50 with our partner Scott of the Austin Rebuild Team. Time to find another rehab candidate!
Give me a call if you’d like to learn more about this type of investing, or whenever you have questions about Austin real estate. I’m never too busy to help.