PROJECT AND SITE DESCRIPTION | This four bedroom, three bathroom 2,223 SF home on a 10,454 SF lot with a pool is located in the city of Monrovia within the San Gabriel Valley. The home was acquired through a short sale and had some updates in progress, saving us money and time in the rehab and sale.
STRATEGY | Having been red tagged by the city for both its condition and non-permitted alterations, the project required engineering to correct structural defects. The danger primarily related to a flat roof that had been improperly converted to a pitched roof with vaulted ceilings. The review and approval of our architectural plans were expedited by a city building department whom were eager to see this eyesore to the neighborhood improved. The project was signed off on in a day or two compared to the weeks it takes other projects to be approved. Our plan was to re-engineer the roof and foundation to maintain vaulted ceilings, update the interior, and install new mechanical systems.
RESULTS | Going under contract the first day on the market at $600,000 the home closed for $592,500 after credits to the seller. This was 8% higher than our pro forma of $548,824. It closed escrow after just 10 days on the market in an area where the average days on market for similar sized homes was 81. The project timetable was 83 days surpassing the original pro forma of 180 days for completion, increasing annualized returns for our investors.