Accidental rental is working out great!
Investment Info:
Single-family residence buy & hold investment in Fairview.
Purchase price: $265,000
Cash invested: $20,000
55+ community. This demographic makes for a fabulous tenant!
What made you interested in investing in this type of deal?
Bought the property for my mom when she was ill. Great community but not for me when she passed.
How did you find this deal and how did you negotiate it?
Off-market from friend in the industry.
How did you finance this deal?
Financed as OO, Conventional 5% down.
How did you add value to the deal?
Updated the flooring and wet areas. Added covered patio.
What was the outcome?
Operated at just under break even due to higher HOA fees the first 2 years. Appreciate and rent increases have me at $700 POSITIVE now with the same tenant. Going on 3.5 years with her and she pays on the 25th of the prior month! She's used to being a homeowner so her son fixes most things.
Lessons learned? Challenges?
I would not want to self-manage if they were paying regularly or had some reason they needed to be evicted.
Did you work with any real estate professionals (agents, lenders, etc.) that you'd recommend to others?
Self.