Escondido Long Term Rental

[Erik Browning]

Investment Info:

Single-family residence buy & hold investment.

Purchase price: $235,000
Cash invested: $12,000
Sale price: $292,000

Accidental first house hack. Didn't know what I was doing and long before I knew anything about investing. We called house hacking "roomates" back then lol.
Eventually moved out and rented the property out as a LTR. Sold in 2013 when I saw that there was $60k in equity, wish I hadn't sold but again - did not know what I was doing.
Made some cash but also learned from this mistake.

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

Just wanted to buy a home

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

It was 2008 and the market had crashed. This was an approved short sale.

How did you finance this deal?

VA loan

How did you add value to the deal?

Replaced flooring, remodeled the back yard (it was a mess), upgraded fixtures, and paint.

What was the outcome?

About $60k in equity at the time of the sale - lol, please read the description, I had no idea what I was doing.

Lessons learned? Challenges?

Yeah, I worked with an agent that took advantage of me and told me to invest my cash into the purchase for a down payment. VA loans DO NOT require a down payment. The agent, and lender (USAA), did not look out for my best interests at that time and told me to put cash down to make the offer more attractive - even though we were in the the financial crisis.

Once I learned more about VA loans and how to optimize them, I've always felt a bit resentful and made a commitment to help other vets

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

A terrible agent and a terrible lender.