Another SFR Buy-n-Hold in Indiana

[Caleb Drake]

Investment Info:

Single-family residence buy & hold investment.

Purchase price: $35,000
Cash invested: $7,500

This home is a 2/2 SFH I bought for $35,000. We originally went under contract at $42k but I knew we were going to be renegotiating that prior to the inspection. I used the inspection as a negotiation tool and was willing to risk the cost of the inspection if the seller didn't budge on the price. This home had been on the market for a while and I knew the seller was eager to close just based on the conversations I had with the agents involved.

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

Cheap Entry and Cash Flow Numbers

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

MLS. Used the inspection to negotiate a lower price.

How did you finance this deal?

Commercial Loan and 1031 Exchange Funds

How did you add value to the deal?

Remodeled the bathroom and cleaned up the exterior.

What was the outcome?

Good cashflow on another SFR.

Lessons learned? Challenges?

Anytime you're working out-of-state challenges come up. Just build a team.