1st property: Foreclosure renovation turned rental

[Joseph Braund]

Investment Info:

Single-family residence fix & flip investment.

Purchase price: $46,000
Cash invested: $15,000

This was my first investment property purchase. I purchased it as a foreclosure and did all renovations myself. It's a 3br 1ba 900sqft home. Original strategy was to hold indefinitely, but have decided to list and use the cash to purchase 3-4 similar properties in a different market.

How did you finance this deal?

This was a foreclosure purchased from my savings.

How did you add value to the deal?

I completely replaced the bathroom, repaired drywall and doors in the bedrooms, and renovated half of the kitchen.

What was the outcome?

I earned a tremendous amount of equity, but it took a year to start cashflow.

Lessons learned? Challenges?

Doing all of the work myself took way too much time.