Strategic Approach

223 S 34th St was purchased off market at a great basis. 34th Street in Camden borders Pennsauken, NJ - a higher income city with similar demographics to the subject property’s zip code with lower property taxes. The thesis was that a Pennsauken income homebuyer would buy a Pennsauken quality and priced house, neighboring Pennsauken, and with lower property taxes in Camden. 

Value-Add Plan

Value was added by increasing square footage, number of bedrooms and bathrooms, and quality of construction. Moderate lawnscaping was performed to emphasize the rare double lot. Mechanicals and electricals were upgraded. Renovation took two months, and then was put on the market and under contract to close in the final two months. 

Property Metrics

Deal Type: Flip to Home Owner

Acquisition Method: Off Market Acquisition

Property Type: Single Family Detached Home

Financial Metrics

Purchase Price: $78,000

CapEx: $52,000

Sale Price: $280,000

Annualized Return: 296%

Duration: 4 Months