Buy and Hold, creating great equity

[Zack LeRoy]

Investment Info:

Single-family residence buy & hold investment in Keene.

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

Bought a 1950's ranch from the original owner. Had not been touched. Renovated bathroom and kitchen. Opened up living room to eat in kitchen. Resided, enclosed the breezeway to create more living space and in process of finishing basement.

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

Low entry point with great potential. Best neighborhood in town.

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

Saw it sitting longer on the MLS than other more up to date properties. Went in offering $25k off asking was accepted.

How did you finance this deal?

FHA, lived in while renovating

How did you add value to the deal?

Upgraded bath, kitchen, living area and exterior

What was the outcome?

Still own, renting for sizable ROI

Lessons learned? Challenges?

The neighborhood is critical, look for diamonds in the rough. See things where others don't. Electrical was whacky and needed to be re run. Was just added onto over the years.

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

Agent to buy.