1304 Lee Street, Jacksonville, AK 72076

[Christopher Stevens]

Investment Info:

Single-family residence buy & hold investment.

Purchase price: $160,000
Cash invested: $46,000
Sale price: $160,000

New property acquired in Arkansas with cash flow.

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

My goal is to get to 10 rental properties within five years. This was my 2nd REI Nation property, and I closed on a 3rd property this month. So, I'm at four properties, but three are with REI, and one is self-managed. With the home I live in, we now own five properties.

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

I found it on the REI website. REI helped with some management fee concessions to make this property cash flow for the first 18-24 months.

How did you finance this deal?

I used CrossCountry Mortgage, which provided a premium rate of 5.5% for 30 years. Rates at the time hovered around 7%, so the 5.5% negotiated by REI also helped with the cash flow.

How did you add value to the deal?

I provided a 25% down payment to help create some cash flow and did my best to provide documents as quickly as possible to make it easy for the lender to close on the deal.

What was the outcome?

This was a decent deal. It provides a small cash flow with little money down. Over time, I plan to refinance to help create even more cash flow, and with time, rents will most likely increase.

Lessons learned? Challenges?

Ask good questions. Take time to think about what you want to say or ask when put in a difficult situation. Don't be afraid to ask for things and allow the other side to make offers. Sometimes, their offer is significantly better than you'd expect or ask for.

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

REI Nation does it again! These guys are top-notch! As long as they have inventory and I have money to invest, I'm going with REI Nation. Thank you, Taz, Taylor, et al at REI Nation. Keep up the great work. I appreciate all you do to help me get to where I want to go with my real estate portfolio.