The Deal.
Windemere in North Myrtle Beach has a 4-bedroom 3-bathroom on the market for $500,000.
What’s significant about this is that the last 4-bedroom 3-bathroom in this building sold for $590,000 on 5-21-2024, and the unit that sold had a Gross Rental Income Projection of as much as $95,000+.
You can probably get this property for around $490,000. That’s $100,000 under the last comparable sell at Windemere.
It can make $67,460.60 in annual profits when purchased with cash and $32,692.60 in annual profits when purchased with financing according to the rental projection for another unit at Windemere.
You can depreciate it $18,181.82 so long as the appraised value is the same as the purchase price.
And, in the last 8 years, it appreciated $319,250! Yes, you read that correctly. That’s roughly $39,906.25 per year in appreciation!
Take a Look at the Numbers.
Cash Scenario.
Financing Scenario.
Depreciation.
Appreciation Since 2016.
The Difference in these two units: a Remodel!
The unit for $500,000 looks nothing like the unit that recently sold at $590,000.
The $500,000 unit is dated and MUST be remodeled to bring the $95,000+ Gross Rental Income.
You spend $65,000 in a remodel, you now have a unit designed to your liking, and you’re still $25,000 the richer according to the unit’s equity.
Additionally, your unit is now optimized for the next 10 years or so to reap the highest possible Gross Rental Incomes annually.
Over the course of 10 years, this could look like as much as $10,0000 per year in addition Gross Rental Income annually, because you can charge higher rents due to the remodel, which as you well know is another $100,000 at the end of 10 years.
That is an excellent example of making the most of your wins. A remodel is a simple way to increase the profitability of the money you’ve already invested. It’s like steroids for your profits. You’ve decided to invest your money in the unit, so why not do everything you can do to increase your profitability! It simply makes sense.
How do you Win with this deal?
You immediately walk into $100,000 in equity when you purchase this oceanfront condo.
You can remodel it—the way you want to design it—and increase your annual profitability.
You sell it after 5-7 years—once it appreciates—and you’ve both collected annual profits, depreciated the unit annually to reduce you’re overall tax burden, and saved some money on your vacation stay when using the unit, a unit designed just the way you want.
The Strategy for a Buyer’s Market in Myrtle Beach Oceanfront Condos.
You find super underpriced Myrtle Beach Oceanfront Condos by Seller’s that are desperate to sell, we’re talking $100,000 or so under the last comparable sell at that resort. These units are the dated ones, you remodel the unit only enough to keep equity in the unit, you’re optimized on rental income for the next 10 years or so, and then collect the profits! It’s that simple.
Call or Text me now to discuss your next Myrtle Beach Oceanfront Condo Purchase: 843-360-1737
Contact: Brandon Kunasek, Broker
Keller Williams Innovate South
Cana Group
843-360-1737
brandonkunasek@kw.com.
Disclaimer: All information given is meant to be educational. I am only passing on historical information shared with me by owners, rental companies, and various publications. I am not guaranteeing these numbers, nor can I guarantee future rentals or appreciation. This information is not intended to replace your own research, or to provide legal, investment, or financial advice. Please consult an attorney for legal advice.