This case study examines the purchase, renovation, and resale of a property located at 381 Brookwood Dr W in Dawsonville, Georgia. The project aimed to transform an existing home into a profitable investment through extensive renovations and strategic improvements.
Property Overview
• Location: 381 Brookwood Dr W, Dawsonville, GA 30534
• Property Type: Single-family home
• Year Built: 1987
• Living Area: 1,836 sqft
• Lot Size: 0.46 acres
Investment Details
Financial Breakdown:
• Purchase Price: $130,000
• Renovation Cost: $250,000
• Total Investment: $380,000
• Sale Price: $515,000
• Gross Profit: $135,000
Timeline:
• Construction Duration: 4 months
Renovation Scope
The property underwent a major renovation, including:
• Complete interior remodel
• Addition of a double-parking garage
• Modernization of all systems and fixtures
• Exterior improvements and landscaping
Market Analysis
Pros:
• Proximity to Lake Lanier
• 100% renovated project
• Located in a great private community.
• Addition of a double-parking garage
• Near Highway 400 for easy commuting
Cons:
• Major renovation required.
• Longer process with city requirements and permits.
• Sale price at the upper end of the neighborhood
Financial Analysis
Return on Investment (ROI):
• Gross ROI: 35.53% (Gross Profit / Total Investment)
Project Timeline
- Property Acquisition: Day 1
- Permit Acquisition and Planning: Weeks 1-4
- Renovation Phase: Months 1-4
- Final Inspections and Staging: Week 17
- Listing and Sale: Weeks 18-22 (estimated)
Lessons Learned - Permitting Challenges: The longer process with city requirements highlighted the importance of factoring in additional time for bureaucratic procedures in future projects.
- High-End Renovations: The extensive renovation allowed for a significant increase in property value, but also pushed the sale price to the upper end of the neighborhood, potentially limiting the buyer pool.
- Strategic Additions: The addition of a double-parking garage proved to be a valuable selling point, demonstrating the importance of understanding local market preferences.
- Location Leverage: Proximity to Lake Lanier and Highway 400 were key selling points, emphasizing the importance of location in property selection.
Conclusion
The 381 Brookwood Dr W project demonstrated the potential for significant profit in major renovation projects. Despite challenges with city requirements and a high-end sale price, the property’s desirable location and comprehensive improvements resulted in a successful flip. Future projects should consider streamlining the permitting process and carefully balancing renovation costs with neighborhood comps to optimize profitability.
- Reference:
Zillow Listing: https://www.zillow.com/homes/381-Brookwood-Dr-W-Dawsonville,-GA-30534_rb/68624524_zpid/
