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Second property

Second property – Apartment #2

Buying date: 25.10.2016

Selling date: 29.07.2019

Property location: Tallinn (capital of Estonia)

Purchase price: 32 000€
Notar: 212.93€
State fee: 49€
Renovation, work and furniture: 5188.1€

Total investment 37 450€.

Property #2 sold for a price 41 300€ – cost = 40738€.

Apartment sold for 40 738€.

My initial investment 3600€. In the end got back 4654€.

My profit from investing 3600€ was 1054€.

I invested a total of 3600€ with 2 of my companies and partners did the rest.

Rent revenue in a month: 285€.

My share of the rent 9.61%, which translates to 27,4€ per month.

Most of the work was done by the partners, yet we still had to hire some experts to finish the electrics and plumbing.

In the table below you can see all the costs and items needed to renovate.

Shop name/job name Price Description
Estpak 70 Colors, paint rollers, wallpaper, lamp
Plumber 255 Water, sewage
Electrician 55 Electrical sockets, switches and work
Carpenter 185 Fixing the floor, 11€/m2, including oil
Koduaken 635.5 New windows
Luku avamine 35 Opening door locks
Estpak 6.28 Paint rollers
Estpak 3.3 Masonry mortar
Estpak 24.66 Colors, paint rollers
Estpak 10.17 Construction lights
Estpak 20.61 Color, paint roller, mazel, wallpaper glue
Hansapost 268.89 fridge, stove, bathroom door
Tellikolimine 30 Moving couch
Estpak 8.84 Makroflex, 2 cans
K-Rauta 14.99 Rock Wool, 1 pack (needed 2 sheets)
K-Rauta 49.39 glass mosaic, plastic hatch
Bauhof 13.6 drywall, 2 pcs (90 cm wide)
Estpak 29.92 4 different bags of dry cement mixtures
Estpak 17.26 color, painting roller, gloves, mask
Electrician 4.17 switches, electric outlets etc
Estpak 4.17 wallpaper glue
Tööriistarent 7.8 rock cutter
Estpak 13.67 Construction paper, putty
K Rauta 19.35 wallpaper rolll, ceramic sheet 3m2, nails
K Rauta 70.49 wall glue, wall color water resistant, glass fibre wallpaper, kitchen PVC
Bahuof 5.55 golden batten
Bauhof 42.58 kitchen coanter 1m and wall PVC
Estpak 38.31 seal, moisture barrier, wall glue, putty
Estpak 16.32 Cement, Knauf
Estpak 18.54 Working gloves, putty, wall hangers, screws
K-Rauta 11.69 glass fibre wallpaper, brush, shovel
K Rauta 46 wall color, brushes, 3 pcs of tape
Feb 48.5 pipe pieces for the washing machine + silicone
K-Rauta 22.69 acrylic, batten
K-Rauta 10.8 acrylic, construction glue
K Rauta 5.57 glue, Liim, electrical items
K Rauta 7.43 ceramic sheet, 1 pack
K Rauta 33.31 kitchen plumbing, blanket, seals
K Rauta 4.8 pressure hose
K Rauta 41.24 painter’s tape, foam batten, ceiling plates, hybrid glue, ceramic plates
Bauhof 11.4 facade materials
Bauhof 151.24 corner battens, kitchen plumbing, toilet lamp, shower curtain and corner work etc
Worker 180 Work
Worker 40 Work
Worker 805.5 Work
Worker 133 Work
Worker 189.66 Materials
Decora 109.22 toilet bowl, plumbing pcs
K-Rauta 4.9 plumbing
K Rauta 35.35 Door stopper, antithief luck
Decora 24.01 Screws, toilet door details, smoke alarm
K-Rauta 1.1 Plumbing
Bauhaus 4.85 kitchen decoration

Cost: 3896.62€

Unpaid utilities bills oct 53.75
Nov 59.74
dec 66.7
Electricity dec 4.2
jan 1.34
Kitchen furniture dec 237
coridor furniture feb 115
dresser 119
wardrobe 189
Transport 30
curtain 40.9
washing machine 319.98
doormat, rug 8.99
coathanger, broom 4.24
picture, rug, chair 36.14
bowl 5.5

Cost: 1362.691€

Total renovation cost: 5259.3€

Selling of the apartment #2:

Advertisment 110
Overdue utilities bill for 7 months in 2019 352
Notar fee 100

Cost 562€

Property #2 sold for a price 41 300€ – cost = 40738€.

Apartment sold for 40 738€.

My initial investment 3600€. In the end got back 4654€.


2 thoughts on “Second property

  1. First of all: congratulations!

    I really like the format and how structured this post is. Making use of leverage can seriously amplify these returns. How are the mortgage rates and conditions (tenant/landlord friendly) in Estonia?

    Also, couldn’t find “Real Estate #1” in the portfolio tab, what’s the status with that one? Is it your primary residence?

    1. Hey MonkWealth!
      Yes indeed they can.
      Mortgage rates are pretty average, atleast I hope. I’ve heard from friends, who’ve been offered between 1.5% to 3.5%.
      Conditions are also average, I mean it always depends on the people who you have to deal with. Some can be nice, some can be awful. Just like elsewhere.

      This particular second property was in a pretty bad neighbourhood. Very close to the city border, the place was filled with bums and other low-life people. We had several tenants go through the apartment before we landed a “good” one, who also had problems paying the bills. That was also the main reason we decided to sell the place.

      The Real Estate #1 is not my primary residence, it is also an apartment. It is located in a city near the capital. I do not have the exact figures yet, but I will hopefully get them soon and I can display them you and other readers.

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