Buy and Sell Real Estate with No Taxes!
tial assisted living, or what I call RAL,” he said. “Of course, that meant we had to make some important changes to the property.” Those changes included: • Dividing the “great room” into three bedrooms, a living area, and two bathrooms • Installing senior-friendly bathroom fixtures and converting bathtubs to “roll in” showers • Managing important code, security, and inspection issues that are not always an issue with single-family residential “The bottom line with RAL facilities is the house must be senior-safe, not just pass code,” Guarino said. “That means you talk with the fire chief and work with inspectors to install the proper types of ramps and grab bars, potentially even fire suppression systems and smoke de- tectors.” It’s a different kind of “flip” for sure, but one that can be highly profit- able for an investor with an eye for the needs of a growing senior community. attractive as a traditional flip or rental property because of its large size, unusual layout, and relatively low probable profit margin (see “Notes & Numbers” on p. 53). “Because investing in residential assisted living is not just about a real estate invest- ment but also the creation of a business, those numbers worked on this house per- fectly,” explained Guarino, noting that the oddly designed “bonus room” that could have been a detraction in a single-family residence was perfect for creating addi- tional private and shared bedrooms for a senior living facility. “The profit potential if we had just flipped the home was there, but it was not anything particularly noteworthy WHY HEWENT “OUTSIDE THE BOX” This property was not particularly
Attorney & Best-Selling Real Estate Author William Bronchick presents...
Before Guarino's changes, the entire area in the drawing at right was one enormous bonus room. The conversion resulted in a community living area (above), one shared bedroom, two private bedrooms, and multiple bathrooms, all with roll-in showers, grab bars, and other appropriate safety features (below).
How to Buy Real Estate (and other cool stuff) in Your IRA
or, in my opinion, a large enough spread to count on for the amount of work that would have had to be done,” he added. Today, however, with 10 seniors co-inhabiting the space, the property is highly productive and Guarino’s invest- ment is yielding dividends quickly and, he pointed out, the business side of the residence, the “RAL” side, is also gain- ing value independently of the added value to the physical structure. •
Gene Guarino is the founder and CEO of The Residential Assisted Living Academy. Get a free seven-part training and learn more about residential assisted living and
Download Your FREE COPY at www.SDIRABook.com
the proven RAL Formula at www.RAL101.com.
54 | think realty magazine :: november 2018
thinkrealty . com | 55
303.398.7032 Call for Free Consultation
www.bronchicklaw.com
Made with FlippingBook Online newsletter