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Updated 29 days ago, 10/30/2024
My First (Future) Rental! Sanford, FL
Investment Info:
Single-family residence buy & hold investment.
Purchase price: $185,000
Currently my primary residence, 4bed 1bath in Sanford that I purchased with 0% down as a Veteran through the VA Loan.
Looking to rent out the property for cash flow (After some small updates / maintenance) and continue to build equity and loan paydown while I house-hack into a 4-plex in the Volusia County area. Anticipated rental income (1800-1900). I will purchase this 4-plex through an FHA Loan with 3.5% Down Payment and live there for at least 1 year until I can afford my next multi-family!
What made you interested in investing in this type of deal?
Not paying increasingly high rents in Orlando in 2020-2021
How did you find this deal and how did you negotiate it?
Worked through my awesome realtor, Michelle Richardson and purchased off MLS.
How did you finance this deal?
VA Loan Financing 0% as a Military Veteran
How did you add value to the deal?
Negotiating the seller down on sale price from $200,000 - $185,000 to build some instant equity in the property.
What was the outcome?
I am currently living in the property by myself and plan to rent the house after some essential repairs. I have built around $80,000 in equity due to appreciation and plan to hire a company to manage the property and start to cashflow instantly.
Lessons learned? Challenges?
Lack of gutters on the home and insufficient foundation support led to a new support beam needed underneath the house which will cost $15,000. This was after the foundation was given the OK by 2 separate inspectors and occurred due to lack of support under the house, soft soil in Florida, and lack of gutters to disperse rain water from the foundation.
PLEASE do your due diligence when inspecting foundations on your future homes, especially in wet climates. Also, BUY GUTTERS!
Did you work with any real estate professionals (agents, lenders, etc.) that you'd recommend to others?
Yes, I worked with my awesome agent, Michelle Richardson with Keller Williams, who helped me find a Broker that made the deal happen @ 2.25% Interest Rate!
Quote from @MIchael Coppolino:
Investment Info:
Single-family residence buy & hold investment.
Purchase price: $185,000
Currently my primary residence, 4bed 1bath in Sanford that I purchased with 0% down as a Veteran through the VA Loan.
Looking to rent out the property for cash flow (After some small updates / maintenance) and continue to build equity and loan paydown while I house-hack into a 4-plex in the Volusia County area. Anticipated rental income (1800-1900). I will purchase this 4-plex through an FHA Loan with 3.5% Down Payment and live there for at least 1 year until I can afford my next multi-family!
What made you interested in investing in this type of deal?
Not paying increasingly high rents in Orlando in 2020-2021
How did you find this deal and how did you negotiate it?
Worked through my awesome realtor, Michelle Richardson and purchased off MLS.
How did you finance this deal?
VA Loan Financing 0% as a Military Veteran
How did you add value to the deal?
Negotiating the seller down on sale price from $200,000 - $185,000 to build some instant equity in the property.
What was the outcome?
I am currently living in the property by myself and plan to rent the house after some essential repairs. I have built around $80,000 in equity due to appreciation and plan to hire a company to manage the property and start to cashflow instantly.
Lessons learned? Challenges?
Lack of gutters on the home and insufficient foundation support led to a new support beam needed underneath the house which will cost $15,000. This was after the foundation was given the OK by 2 separate inspectors and occurred due to lack of support under the house, soft soil in Florida, and lack of gutters to disperse rain water from the foundation.
PLEASE do your due diligence when inspecting foundations on your future homes, especially in wet climates. Also, BUY GUTTERS!
Did you work with any real estate professionals (agents, lenders, etc.) that you'd recommend to others?
Yes, I worked with my awesome agent, Michelle Richardson with Keller Williams, who helped me find a Broker that made the deal happen @ 2.25% Interest Rate!
Super excited to see this deal happen! I'm personally taking notes over here (fellow florida resident) I need rain gutters and downspout splash guards like yesterday. As for the four plex property purchase, why not use another VA loan with your remaining entitlement? You should have about $541,000 left over for a no down payment loan!
Glad we could connect! Yes I will chalk up the gutters and foundation as my "welcome to florida" lesson.. lol
I didnt even think about that with the VA loan.. So I can keep my financing on this as a rental and get another loan with the rest of my entitlement?? That would be incredible
Quote from @MIchael Coppolino:
Glad we could connect! Yes I will chalk up the gutters and foundation as my "welcome to florida" lesson.. lol
I didnt even think about that with the VA loan.. So I can keep my financing on this as a rental and get another loan with the rest of my entitlement?? That would be incredible
Yes! I maxed out my entitlement with three VA loans.
Let me know if you have any questions.
I wish you all the best.
That's awesome.. I appreciate that! Definitely makes sense to max out the VA before I lean towards an FHA Loan. I will reach out for sure as I'm prepping to rent out my primary residence. All the best to you as well!
