Vacation rental #3

[Randy Cleveland]

Investment Info:

Single-family residence buy & hold investment.

Purchase price: $165,000
Cash invested: $110,000

Short term rental property on 9 acres.

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

This was a true fixer upper in a great rental area. Properties sell fast and nobody wanted to touch this due to the amount of work required. We do the work ourselves and the value of the property is estimated at $450k - $500k.

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

My real estate agent turned us on to the property after we told him what we were looking for.

How did you finance this deal?

Paid cash. Hindsight tells me we should have financed this deal and saved the cash!

How did you add value to the deal?

Remodeled the property.

What was the outcome?

Excellent vacation rental generating $5500 + monthly

Lessons learned? Challenges?

Don't try to do all the work yourself. Sub out any work you can to get the property listed as soon as possible.