Southern Impression Homes 3 Bedroom

[Andrew Sargent]

Investment Info:

Single-family residence other investment.

Purchase price: $279,000
Cash invested: $120,000

Build to rent property from Southern Impression Homes, being managed by Suncoast Property Management. New Street still being developed. 3 Bedroom.

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

I like the idea of single family homes as rentals for a variety of reasons. Mostly being that when it comes time to sell I am not limited to selling to other investors looking for underpriced properties.

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

Took a bus tour with Southern Impressions. Purchased it while it was being built.

How did you finance this deal?

Interest rates were climbing and a not so funny comedy of errors with the load company cost me dearly in rates. I will refinance when the rates drop and recuperate some of my investment funds with better cash flow.

How did you add value to the deal?

By buying it when it was being built its appraisal left with with equity earning on day one. The street is new, so as it fills out and cleans up and blossoms our equity should go up quickly.

What was the outcome?

So far so good. Too much money is tied up in the property at present but I will get it back as soon as rates begin falling.

Lessons learned? Challenges?

The banks proved to be nightmarish. I got a lot of misguided & deceptive advice from various loan officers who just want to close & did not explain what was really happening behind the scenes. Plenty of money on the table, but extremely difficult underwriters and less than helpful loan officers in terms of information. Southern Impression Homes got me in touch with a loan officer who took a lot of time to help me navigate the real drama behind the scenes. Someone see a needed book need here?

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

Southern Impression Homes. Suncoast Property Managers. Highly recommended.