Morris Invest: Behind the Scenes of a Renovation Part 1


[MUSIC PLAYING] Hey, everyone. Today is behind the scenes
of a renovation project. So we’re going to be taking
you through, step by step, the process that I’m going
right now through on four different rental properties. We’re driving to four of them
right now where contractors just started this morning. So we’re doing demolition,
tearing out cabinets, putting in new flooring. I’ve got four properties
side by side that I bought. I’m going to show you
the numbers that we spent and what we’re planning on doing
on each of these properties. If you’re new to the
channel, please subscribe. This is the channel
where we help you build financial
freedom and passive income. What we teach you to do is
buy and hold real estate. We buy real estate. We fix it up. In today’s episode,
we’re going to be walking through step by step
what that exactly looks like. All right, let’s go
meet the contractors because they are fully engaged
in the process right now. These are the types
of neighborhoods what I like to buy, so
transitional neighborhoods. It might not look perfect
yet, but you’re starting to see a lot of movement. Look, the school bus pulling
up, kids getting off to school, coming home at the
end of the day. If I can help transform
this neighborhood in some small measure by
putting on brand new siding, putting on a new roof,
getting some great tenants in this property,
that’s what excites me. I own both sides of this. It’s not really a duplex because
there are two different deeds. But it’s set up like a duplex. So you can see the
neighborhood here. There’s other ones similar to
this, but here is the property. This is the first of the four
that we’re going to renovate. So among the things that
we’re going to be doing on this property are putting
siding on all of the house here. We just ordered all new windows. The new roof is going
to be fixed up here. But we are not going crazy. And we are not going to
overupgrade this property for the neighborhood. You’re not putting in
granite countertops. We’re going to put in
some durable flooring. We’re updating the
electrical on this one. So we have to put
in all new wiring and updating the plumbing. And fortunately, here
we are in February. It’s actually a nice
day today, 50 degrees. So we don’t have to
have the heat blasting. So let’s go on inside
and see where we’re at. [MUSIC PLAYING] Hey, guys. How are you? How you doing? The flooring. The flooring’s all ripped out? Yeah. Awesome. Great job, guys. Thank you. So all the flooring
is ripped out. [MUSIC PLAYING] They already ripped
the ceiling down here. Need to recoat that. Man, this looks a
lot different than it did just a few days ago. So you can see the windows
here too, these old windows. These are like the
windows I grew up with, these old, wooden windows. So these will all be ripped out. And we’ve got to update them. I’m going to show you
the electrical panel back here too, this
old electrical panel. So this has to be
updated to code. Your doors will go in. But you get a great team
working on a project like this, I can have this banged
out in a few weeks. So we’re going to
update this tub as well. So this is just
the first stages. Walk through the kitchen
here a little bit. These are just the first
stages of this renovation. We’ll be back, and we
can see more of this too. How’s the heat working
for you guys, good? Yeah. Yeah. [MUSIC PLAYING] Water heater is new too. All right, so that
was the one half. The other half is
already pretty much done. So we’ll go in here so you can
see what this side looks like. Right now it’s where
contractors just hanging their coats in here. The flooring’s
already done in here. And we’ve already got a
tenant pretty much lined up to go into this one. There’s a few
touch up items that need to be finished in here,
as we call them, punch items. Punch items, so a
few remaining things that need to be completed
to get this one rent ready. Put these things down
to protect the floors while they’re coming in to
use the restroom and so forth. So got carpet. Carpet in here. So this side, this
side is already done. So these are coming
together pretty nicely. And then once it’s
warm enough, we’ll be putting the siding
up, fixing these soffits, putting in all the new windows. They’re doing a great job. Some great contractors. Important to make sure that
we have great contractors that are licensed and know
what the city codes are. And of course, every
state is different. So there you have it. That’s part one of
our renovation series here, because we went in. We already got to see all the
flooring being ripped out, the old cabinets
being ripped out, and really this
process unfolding. So this is really part one in
this whole process right now. And what we have now
is in the second video, I want to show you our
actual renovation numbers, what it’s going to actually
cost to get these things turned around and renovated. So we’re going to deep
dive some of these numbers, how much we’re spending on
the flooring and those things. So no gimmicks on this channel. We’re doing renovations
for real in the field. And I want to bring you
along for the entire process from beginning to end,
finding the contractors, renovating the properties,
and getting these things cash flowing the way they should. And I’m excited that we
get to help transform this entire neighborhood. If we can contribute
in some small way to these things looking great
on the outside with brand new siding and helping to
elevate this neighborhood, then I can sleep
better at night. So on to the next
video when we’re going to show you actual numbers. And we’ll be back to check on
the progress of this property to see how it’s looking once
we get the new flooring in and the windows
that we’ve ordered. Now I’ve got to go check
out another property.

55 thoughts on “Morris Invest: Behind the Scenes of a Renovation Part 1

  • Hi Clayton. This is my first time commenting on YouTube. And congratulations to you for having 100k subscribers. You said NJ or some blue states are not quite landlord friendly, it may not be a good idea to have rental properties here in NJ. My question is are you exploring the market in NJ to see if it’s worth investing in the future? If yes, when can we expect to have a conclusion about this? I believe that you haven’t bought too many properties yet in NJ, right? Btw, I have talked with Hayley, she is so nice and helpful. Hope to get started with your team soon. Thanks.

  • This is great! My wife and I just went thru a renovation ourself on our 1st rental due to a fire and broken pipes. It wannot easy as we are starting but we learned a lot. Your content is great and I have learned from your channel as well. Ty!

  • Thank you for showing us the process of buy & hold ! Learned a lot been watching your videos! Awesome channel!👍

  • It already looks better without those awful colors! It's also nice to see the finished side. Looking forward to watching your numbers video. Thanks for the great content.

  • I love this video, I see this all the time with my properties:D Love renovating
    This just shows that it takes work to make money in real estate its not as easy as it looks.

  • Are these properties in NJ and how much will the renovation cost on the second unit. It seems like it will be Very expensive.

  • Thank you for being transparent and showing your whole process. Always look forward to your videos because I know I will learn something. I hope to take action this year!

  • Morris, great content. For those considering this, look at the "after" (well, nearly excepting the punch items). The one where demo is underway already looks better than the first one my wife and bought three years ago. It had buckled laminate flooring because whoever had lived in it tried to do some "Hillbilly" plumbing to run a copper line for an icemaker (we had to assume). It came from the nearest source whomever installed it found (turns out that there was a better source) came out of a wall, was fastened to the ceiling ( ! ) with big wiring staples, then dropped down outside the wall behind where the refrigerator would sit. Even more bad news – it had leaked for the couple of months the house had sat vacant. There was about an inch and a half of water, and an infestation of gnats. All the sheet rock had to be removed and replaced. It had a tree that had been planted too close to the standalone garage that had grown into the wall (taking out the tree cost me several $hundred and I had to spend a couple of weekends with multiple tools to get the bottom of the stump that was near the garage out, as the company that removed the tree was afraid to get the stump grinder closer than about two inches from the concrete slab for fear of tearing up the slab or their grinder if it hit concrete.)

    But at the end of the rehab, it became our best money-maker in terms of cash flow, and our original tenants continue to live there. I can attest that this model of buy and hold generates steady income. You won't make a fortune on a single property, but you can make money on each one, and it's what amounts to an inflation-proof (though not deflation-proof, but that's hopefully not going to happen) investment. And the income, if you are doing it right, is virtually tax-free.

    This will be an interesting and informative series!

  • Clayton – Love watching these behind the scenes rehab videos. Keep up the quality content!

  • I am excited for this series. If you are willing, please work in how you determine the after repair value of a property when evaluating it as a potential investment as well as what you do and don't update. Everyone seems to say, here is buy cost, here is what we expect to put into it and here is what we expect to sell it for, but the details of how those numbers are obtained seems to always be blurry. Thank you for all you do!

  • I'm definitely tuning in for the rehab series. I've had horrible experiences with local contractors, leaving me paralyzed to take on huge renovations. I've walked away from a few properties because I get anxious just thinking about it all. This will help grow my knowledge base!

  • It looks like the drywall was replaced as well. I was just wondering, do you use the 5/8 fire rated drywall on the exterior and interior walls, or just on exterior walls?

  • Surprised you left old gyprock on place. Usually it looks disgusting even after patching it. Unfortunately on the video with new unit we didn't see gyprock condition

  • I'm really looking forward to the next video. also, if you haven't done a video on "getting a contractor at reasonable costs", i think one would be well received. i am always faced with contractors seemingly taking advantage of me since i am not in the state, city, that the property is.

  • Thank you very much for putting forward this kind of video. It's supremely interesting. Nervous about getting started with a contractor. I'm hoping my realtor has some trustworthy recommendations.

  • Went through the same process with four of my homes in Sherwood Arkansas all four of them worked on three months all rented 1295 + 1100 and 1100 and 10:50 these homes were rented for two years lease and one for 3 years previous tenants on the last one

  • Congratulations on 100k Clayton!
    Enjoyed this one & look to see more like it. This changes things up & will add more viewership in your end.
    What will be approx ROI here?

  • Mr. Morris this might be off topic but am I able as a first time home buyer/investor instead of getting a traditional mortgage loan am I able to get a personal loan on a DEAL rehab it live there and refinance to a traditional mortgage not sure if this is a good idea or that you would recommend something like this thank you!

  • apologize for the off topic question. But do you own or rent a car in the different states you buy properties to get around?

  • This is the stuff I love to watch Clayton but one should really know what there doing. I notice in all the video I have watch on fix & flips no one mention anything about the foundation? I also think it's best to buy house that don't have major issues even though I like watching everyone get there hands dirty & hearing all the details from you Clayton.
    I gave you another like Clayton! Too Easy Clayton! Lol!

  • Do you go to the properties by yourself or do you always bring your contractors. Or have you been doing this so long you already can pretty much estimate yourself?

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