First Rental Down!

[Sarah Allyson Shipp]

Investment Info:

Single-family residence buy & hold investment.

Purchase price: $355,000
Cash invested: $30,000

We have rented out half of our home as an airbnb for 2 years. We are now moving to a new home and have made the whole home into a long-term rental. We're super excited for the opportunity!

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

It has a perfect setup similar to a duplex, but we couldn't afford a duplex yet. We have always wanted to own multifamily housing, and this was our first small jump into it.

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

We just found it with our regular realtor. Probably not the most special deal ever.

How did you finance this deal?

A conventional loan

How did you add value to the deal?

We redid the ceilings (took off the popcorn ceilings), painted the walls, added lights, and added an enclosed arizona room with heating and cooling.

What was the outcome?

We've had a successful rental that has paid for almost the full mortgage since having the home! We will now have full-time renters as we move out and it will pay more than the full mortgage, giving us room to pay for the costs.

Lessons learned? Challenges?

We probably made it nicer than we needed. We also used some contractors that I may not use again, as there is some leaking that we've had to deal with. This was a fantastic find though.

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

Kristy Oliveira was amazing and has still helped us a lot in our search. We also worked with Matt Kochis.