First Buy and Hold Property

[Chad Otsuji]

Investment Info:

Townhouse buy & hold investment.

Purchase price: $172,000
Cash invested: $48,000

3/2
PP $172k
25% down
$8k closing cost
Cashflows around $400 a month
Section8 Tenant
Prop Management 8%

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

The steady section8 income. Recently renovated property. Learn as you go

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

Found on Redfin and negotiated through a RE Agent. Asking $185k but came down to $172k

How did you finance this deal?

25% conventional loan

How did you add value to the deal?

Light cosmetic work. Didn't add too much value

What was the outcome?

Good long-term tenant, steady income,

Lessons learned? Challenges?

Add more value. Get better insurance especially for Sewer in Baltimore, use HomeServe.com. Do main sewer line inspections when buying. Do annual or semi annual rodent control

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

Yes I worked with Joe Peters in Baltimore