Rental Property #1

[Steven Ellington]

My wife and I just handed the keys to the tenants of our first rental property!  We are so excited we thought it deserved a post.  The quick rundown of the numbers are listed below.  We could not have done it without all the priceless info in the BP forums, blog and podcasts.  We look forward to being more active in the BP community now that we can say we are actual real estate investors!

3/2/2 SFH in Lubbock, TX listed on MLS

Purchase Price: $96,000

Rehab: $10,000

Financing: Fannie Mae 80% LTV

PITI: $622

Rent: $1175

Lease terms: 1 year

We closed on August 20th and had our tenants move in September 20th.  We were worried about getting it rented in a college town after school had started but received a lot of interest (about 20 phone calls in a week) from prospective tenants and are confident in the quality of the tenants we chose.  We did background checks, credit checks, employment verification and have a healthy security deposit.

What do y'all think?  We know it is not a home run but we think it is a solid double and we are proud of the home we are providing.  Now on to saving up and searching for Rental Property #2.