BRRRR Testimony Part II

[Brian Tome]

We bought this little 3 bedroom 1 1/2 bath townhouse in North East, Maryland for $60K in December 2019 from the family of an investor who passed. It was in need of a complete rehab and we put another $30K into it before renting it in May 2020. After renovation value was appraised at $135K on May 20, 2020. Our tenant takes excellent care of the property and it has cash flowed around $150/month (on a 15 year note with a 10% reserve) since then.

On the refinance we got all our money back out and plus a couple thousand. Not a home run, but all our money back and still cash flowing made me happy.

20 months later, the house just appraised for $177K. After we refinance and put it on a 30 year note, it will cash flow about $400/month, put $30K cash in our pocket (to reinvest), and we will still have $45K equity in a property that we have nothing in - not to mention the tax benefits we gain from depreciation.

This is why I love real estate. It isn't easy or risk free, but it has been a blessing to us.

If you are in the Maryland, Delaware, Pennsylvania area, reach out so we can talk. These deals are plentiful around the I-95 corridor through the tristate area.