Buy and Hold off of E 21st in Indianapolis

[Jacob Messer]

Investment Info:

Single-family residence buy & hold investment.

Purchase price: $75,000
Cash invested: $25,000

This was a quick flip we did to add considerable value to our investor's rental property:
- some framing, cabinets, counters, drywall work, paint, minimal bathroom work, appliances.

It was purchased for $75,000. After all things were said and done ~$25,000 was put into it. It can currently be sold for anywhere between $105k-$116k however the owner is more than fine renting it. From what i can tell it's renting for $1,100 and has been occupied for 14 months or so.

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

Our Investor was motivated to increase his rent without putting a crazy amount into improvements.

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

The investor found us through word of mouth.

How did you add value to the deal?

We were able to satisfy the investor's needs and budget constraints to create a desired living space that creates positive cash flow for him.

What was the outcome?

It is still being rented so that's a good sign.

Lessons learned? Challenges?

Make sure to sweep the back yard before mowing. Wouldn't want any surprises.