My First BRRRR Deal in San Diego, CA!

[Jon Khalil]

Investment Info:

Condo other investment.

Purchase price: $490,000
Cash invested: $6,400

A 3 Bed, 2.5 Bath 1400+ Sq.Ft. Condo located 3 minutes away from SDSU. This property was purchased using 0% down and 0 PMI from our Credit Union. 6.25% interest rate. Closing costs were about $8300 and we received a seller credit of about $3350. We plan to fix it up doing all the work ourselves, get it rented by December 1st, and refinance once rates are back in the 2-3% range to see real cash flow.

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

It was the best way to get our foot in the door. After researching all different types of methods of investing in Real Estate, I found that the BRRRR method was the best for long term wealth and being able to cash-out refinance is the key to receiving tax free money to go buy the next property.

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

Redfin, we looked at comps and had to make an aggressive offer since this property was in a multiple offers over listing situation.

How did you finance this deal?

We invested 0% down and only paid closing costs, which after the seller credit we actually ended up getting about $4K back.

How did you add value to the deal?

TBD- we are planning on upgrading the floors, fixtures, paint, and Kitchen.

What was the outcome?

TBD/In process

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

Twana Rasoul is a great Realtor here in the SD area, and he made our transaction smooth and we were very happy with the end result. I highly recommend him.