My first rental

[Ava Randelia]

Investment Info:

Single-family residence buy & hold investment.

Purchase price: $118,000
Cash invested: $118,000

This was my first deal, which I bought right when the market crashed, so I think I got really lucky.

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

I was determined to get a rental. I had watched my mother-in-law buy a bunch of rentals, and I thought 'I really want to do that!'.

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

I found it on the MLS.

How did you finance this deal?

This was a cash deal.

How did you add value to the deal?

Initially, I spent about $10000 on improvements, it did not need much. Over the years I've added a new AC unit, widened the driveway, had the trees trimmed , but have not had to do too much, to be honest.

What was the outcome?

Still a great rental, and my current tenant has been in there for about 8 years now. I could modernize it, but since my tenant is happy & paying every month, I'm just leaving it alone.

Lessons learned? Challenges?

I learned that it's not necessary to fix something that isn't broken... I had the bathtubs and tile replaced, even though they were ok, just ugly... I could have had them resurfaced. Sometimes, when you start a project, then it leads to a whole bunch of other stuff.

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

I represented myself.