2017 - The year I started investing in Real Estate! My First Deal

[Alex Witte]

Hello everyone!

I wanted to share my success stories from 2017! 

I started reading up on REI in June of 2017. I got a new job in sales and moved to a new area. I had zero experience with real estate other than owning my first and now second primary residence.

Like many, I stumbled upon the BP podcast and began listening to them ALL! I joined local groups on Facebook and attended a few meetups. After learning the lingo and understanding calculations I started searching for leads. I sent out probably 15 offers before I finally got one accepted! 

It is a duplex in Milwaukee Wi. I partnered with @Michael Henry who has taught me a great deal about REI in a very short period of time!

2 BR 1 BA Upper

2 BR 1 BA Lower

The initial financing was structured as follows:

Purchase Price $65,000. 

Down Payment $20,000. 

Seller financed $45,000. 0% interest for 3 months. 

The upper and lower had been recently remodeled and with comps in the area we figured the value to be roughly $80,000. 

I rented out the upper for $775 and the lower for $750. 

30 days after closing I refinanced the property with a local credit union and the appraised value came in at $75,000! 

I got a nice big check back at closing! I now understand why BRRRR is such a great strategy!

It now cash flows roughly $620 per month and I am very happy with it so far! 

That property got me super excited and I immediately began looking for my next one. After just a month or so I came across my second deal...I will post that in a separate post. 

I want to thank BP for being the place to go when I have questions. This is a great community! Thanks to everyone who contributes to it!