Postcard Property Resulting in a Great BRRRR Opportunity

[Dylan Bennett]

Investment Info:

Single-family residence buy & hold investment.

Purchase price: $48,000
Cash invested: $90,000

A BRRRR opportunity which I found doing wholesale activities (cold calling and post cards)

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

I have been looking for an opportunity to do my first renovation/BRRR. Found this property by sending out post cards and decided to purchase the property.

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

Found this property by sending out direct mail. Negotiated the deal with 48,000 in cash (really a line of credit) and I'll pay the seller's typical closing costs.

How did you finance this deal?

I used a line of credit to purchase property

How did you add value to the deal?

I am remodeling the property. I am expecting to have around 35-40k in rehab costs putting me all in around 90k. I expect the ARV to be worth around 110-115k. Even if not, I will refinance out of the property afterwards to pay the line of credit off and whatever is left is what I'll pay cash to get off line of credit.

Lessons learned? Challenges?

I had a lot of learning for this property. The seller was a son of deceased parents that did not leave a will. It was a process trying to get to the finish line. I am also doing my first renovation thru this property so I am learning alot about what that side of things looks like.

Did you work with any real estate professionals (agents, lenders, etc.) that you'd recommend to others?

I worked with Emily Herring at True Title in Lubbock. All of True Title was great in answering what I needed and helping me cross the finish line.