Sell or Rent - Inherited home from Father's Estate

[Troy W. Hudson]

Investment Info:

Single-family residence buy & hold investment in Grovetown.

Purchase price: $61,000
Cash invested: $3,500

Inherited home from Dad with a $60K balance on the original mortgage. Been paying mortgage and upkeep bills and now debating on whether to sell or rent it out.

Built in 2003. 3/2 1,800SF Estimated sale price $250-260k based on comps checked on Redfin. Average rent in area is $1,700-1,800. Property taxes almost $2,800/yearly. New roof in 2020.

Need to have painted/new carpet/new water heater/bathroom flooring/garage patches - about $7-10K before putting on the market for rent or sale.

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

Inherited property so the situation created the interest, otherwise my wife and I probably would not have even entertained the possibility. I just turned 60 and would like to retire on REI passive income by age 70.

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

Inherited.

How did you finance this deal?

Paying off mortgage with his estate account money.

How did you add value to the deal?

Having renovations done to put new paint and carpet and bathroom flooring replaced. Having backyard privacy fencing mended.
Attic water heater replacement because of age of the unit and trying to get ahead of a capex item.

What was the outcome?

Renovations just starting so outcome is still undetermined.

Lessons learned? Challenges?

Made poor choice in hiring first painter and the expense of labor and supplies - unable to complete job satisfactorily which will lead to a redo.

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

Not yet.