First deal but not first deal

[Isrrael Mendoza]

Investment Info:

Single-family residence buy & hold investment.

Purchase price: $310,000
Cash invested: $33,000

First real estate investment. Quite frankly the decision to purchase the property was implemented with the intentions of making it my primary residence. However, it was then converted over to a rental property. I have invested about 3k invested to the property and the other 30k was from the down payment.

From an investment point of view it was not a good invest but my initial intentions were to make it my primary residence. Although it is barley breaking even it was a good experience : 1) Obtained preview of what is to come with buy and holds / LTRs 2) Gathered land lording experience 3) Knowledge on evaluating potential deals.

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

Rich Dad Poor Dad & along with the drive of having my first home.

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

Found it via a realtor my friend recommended & I negotiated it with my realtors inputs (main going off of comps).

How did you finance this deal?

Own Money

How did you add value to the deal?

N/A not much has been done to it other than a new water heater.

What was the outcome?

Learned valuable lessons to take into consideration escape plans. Even if your intentions are to buy for personal reasons one should look at homes that provide AT LEAST one escape plan. In this case an evaluation was not done and it happen to rent for an amount that allowed breaking even.

Lessons learned? Challenges?

know your market and evaluate all property, do get emotionally regards of its purpose... unless you're rich.

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

yes... I actually became an agent with the realty.