First True Investment Under Contract!!

[Brett Sayers]

So.... it’s been a long time coming. Almost a year since I sold my tow “accidental” rentals for some decent profit. I’ve been waiting for some legal matters to clear up before buying my first “true” real estate investment property.

It's a VA foreclosure in Middle Tennessee. I got it under contract for $105k at what I estimate to be $30k under ARV with some renovations to make. Bids will be coming in from contractors next week and we should close in the beginning of May. The goal is to have it renovated and tenanted by June.

I'm still researching rental rates in the area, but for the size and quality I intend on bringing it up to.... I'm looking at $1000-1200/mo rents. Since I'm purchasing with cash, there will be no notes. My numbers say this will get me 5-6% ROI and monthly cash flow of around $500/mo.

I'm planning on refinancing following the BRRRR method, but checking with the banks.... the interest rates and terms are slightly challenging. I'll keep looking, but suggestions for banks that will refinance an investment property on 30yr term with under 6% interest would be appreciated. Worst case....I keep it without a note until I find a bank or private lender.

I’m really excited, and will most likely post actual deal numbers as they come after closing for BP member scrutiny and analysis.