PROJECT AND SITE DESCRIPTION I Situated on a large, 10,842 SF lot this home is located in Montrose which is a quaint community just north east of Los Angeles known for its superior school system which has received 10 out of 10 ratings (www.greatschools.org) for its elementary, middle and high schools. This particular home was bought in a short sale transaction in February of 2011 and needed updating with no significant deferred maintenance.
STRATEGY | The general goal was to improve the home with some mechanical and cosmetic updates. Three of the bathrooms were updated with new tile, fixtures and vanities. Throughout the interior new laminate flooring and carpet were installed. The kitchen was in good condition with newer cabinets saving us on the renovation costs and time. We installed new central HVAC and copper plumbing and added a fresh coat of both interior and exterior paint and to complete the look we created all new irrigated landscaping.
RESULTS | With a projected profit of $41,028 the actual profit of $63,036 exceeded expectations creating a 77% return on equity. Our projected return on equity had been 32.51 %. Over our holding period the case-shiller index rose only 1%