My Very First Investment

[Alexis Fentress]

Investment Info:

Single-family residence buy & hold investment in Hardinsburg.

Purchase price: $45,000
Cash invested: $15,000

This was my first real estate purchase ever! 3/1, carport and shed; older man was selling to live with his daughter. It was already in pretty good shape and didn't need very much, at first. New flooring throughout, paint, and landscape (biggest expense). After tenant moved in, the HVAC and water heater stopped working. I invested in a new water heater, and AC window units. Installed a new HVAC once the tenant moved out (which was 2.5 years later)

What made you interested in investing in this type of deal?

I was just ready to pull the trigger and everything looked good (from what my eyes could see)!

How did you find this deal and how did you negotiate it?

My mom found it while delivering the mail (she's a mail carrier and the best bird dog ever)! Lol They were asking $80,000 and I offered them significantly less.

How did you finance this deal?

Cash

How did you add value to the deal?

By updating the shad carpet and yellow and red paint colors.

What was the outcome?

Great cash flowing property!

Lessons learned? Challenges?

Go ahead and replace the HVAC and water heater if they're more then 15 years old in a property. Otherwise, you'll have to do it once the tenant moves in and that can bring on unnecessary stress.