This investment comprises nine single-family shotgun-style houses near Downtown Augusta, GA. It was our first acquisition in this market and our first major renovation project. Four of the units were uninhabitable, with two requiring complete reconstruction.

The renovation scope included extensive structural repairs, such as reframing, foundation work, full electrical rewiring, and the installation of new central HVAC and plumbing systems. The two fully rebuilt units were redesigned as 2-bed/1-bath homes, while the remaining units, which underwent medium to light renovations, retained their original 1-bed/1-bath layout. Renovations were phased to prioritize lighter rehabs, allowing livable units to be rented as quickly as possible.

This project was our first large rehab budget, requiring diverse funding sources. The seller financed 75% of the purchase price, while a HELOC from our primary residence covered the down payment and partially funded the renovations. The remaining costs were financed through personal loans, business lines of credit, private money, and credit cards.

By the end of 2023, the property was refinanced into a commercial loan. Unfortunately, interest rates were at their highest at the time of refinance, which is reflected in the debt service terms: 8.75% interest and a 20-year amortization.

While this is not our top performing asset, this property holds significant potential in the coming years. Initial rents were in the $600 range but have since increased to $880–$1,000, with half of the units leased through Section 8. Over the past two years, the neighborhood has undergone substantial transformation, including the addition of four new construction homes directly across the property.