Second home I bought, turned into a SFR following my move to VA.

[Autumn Whittington]

Investment Info:

Single-family residence buy & hold investment.

Purchase price: $134,000

My second home I bought as a turn key owner occupied property. Using a VA loan, I put nothing down with a 15 yr loan on this short-sale purchase. After my 3 years of military orders in the area were up, I moved out and turned it into a long term rental. I have replaced the roof myself and installed a concrete patio but nothing else. After aggressively paying the mortgage, I paid off the mortgage in October 2021. Plan to keep this a paid off property as "piggy bank" in case a great opportunity or emergency comes up. Cash flow listed is monthly rent.

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

It was a short-sale deal. I was in need of a place to live and I offered just below asking price with the contingency to occupy the house until the bank took its time deciding on my offer. I lived in the house for 5 months rent free until they finally accepted. That was a great deal for me personally. Living on a air mattress for all that time did suck but worked out in the end.

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

MLS - RE agent

How did you finance this deal?

VA loan, $0 down, 15 yr fixed at 3.25% interest rate.

How did you add value to the deal?

Turn key. I added a concrete porch in 2016 replaced the roof in 2019 following a storm.

What was the outcome?

Steady cash flowing property that is paid off.

Lessons learned? Challenges?

Buy a house you can easily afford for your needs and one that will rent easily.