First investment property

[John Merseth, Jr]

Investment Info:

Single-family residence buy & hold investment.

Purchase price: $85,000
Cash invested: $46,500

This property was just acquired, part of the investment was in leu of payment for work completed on another project. By my estimation this should cashflow after we pull out our investment.

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

Tax benefits, good investment possibility, cashflow.

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

Current contracting customer

How did you finance this deal?

Currently seller financed at 5%, we will be looking at permanent financing after the renovations are done and we have it rented.

How did you add value to the deal?

Not completed yet, but we will be replacing windows, and doing a small interior remodel to add a second bedroom

What was the outcome?

n/a

Lessons learned? Challenges?

it is possible to use personal contacts to find deals.

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

no