2 Bedroom/2 Bathroom condo I purchased in Chicago for $50,000

[Na Le]

Investment Info:

Condo buy & hold investment.

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

I purchased this condo 4 years ago in an up and coming area. I know the neighborhood is developing but this deal was too good to pass up. I couldn't a loan out for the unit so I took a personal loan for $20,000, pulled from my retirement and made up the rest in cash reserves.

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

I was interested because I see the potential in the unit and in the area. It cashed flowed immediately.

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

I found the deal on my own, then used a realtor to write up the contract and hired an attorney to negotiate. I was able to drop the price by $5000 at the end.

How did you finance this deal?

personal loan, cash and took out from retirement.

What was the outcome?

I paid the personal off in 2 years, paid minimum interest and no origination costs. I have found stable tenants for the last four years.

Lessons learned? Challenges?

I inherited a tenant upon purchase, I would not do that again. I prefer to vet my tenants. I learned how to be a landlord, I got my real estate license after so that I can continue to purchase for myself and help others invest.

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

agents and an attorney. No, I would recommend myself and the attorney was not a good fit.