Class A investment in Memphis, TN

[James Wachob]

Investment Info:

Single-family residence buy & hold investment in Memphis.

Purchase price: $150,000
Cash invested: $50,000

This property is a long-term play. It is in my favorite Memphis community (I live in this neighborhood) and will be a safe investment for decades to come. I enjoy having properties that attract executive-level residents. Yes, the ROI could be lower (on paper) but I would argue that over a 10 year period this rental will outperform the C class properties that many investors desire.

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

Location!

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

Wholesaler

How did you finance this deal?

Originally on a line of credit, then paid it off.

How did you add value to the deal?

A full renovation including white shaker cabinets, granite, upgraded kitchen and bathroom, refinished hardwood floors, SS appliances, stackable washer & dryer, 2" faux wood blinds, landscaping, NEW sewer line, NEW HVAC, and much more!

What was the outcome?

I have no plans to ever sell this one. I live in the neighborhood and LOVE renting to executive-level clients who take care of my properties!

Lessons learned? Challenges?

This home defines the statement "Real Estate investing is a MARATHON, not a sprint"
On paper, some people would scoff at the low ROI but I know that over the next 20 years this will be a PASSIVE and fruitful investment.

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

I am a real estate broker and owner of a local property management company. I represented myself.