2nd Buy & Hold - Chico CA

[Tamera McKenzie]

Investment Info:

Single-family residence buy & hold investment.

Purchase price: $440,000
Cash invested: $20,000

4bed 2.5 bath 1811sq ft - New build from D.R. Horton with solar panels. I added extended driveway, RV parking, back yard landscaping w/ covered patio, shiplap on two interior walls, and painted accent walls in every room. I lived there 7 months while updating, then moved out so it’s now a rental

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

Close to an up and coming area of town; new build with ultra low maintenance, desirable new finishes for renters

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

Found on Zillow, negotiated $67k price drop and 4.99% interest for closing just before Christmas

How did you finance this deal?

Builder financing

How did you add value to the deal?

Extended driveway. RV parking. professionally landscaped back yard with covered patio; shiplap and painted accent walls

What was the outcome?

Lived there 7 months while updating. Moved out and new renters moved in a week later

Lessons learned? Challenges?

Spent too much money on updates for a rental property. Rental income doesn’t cover mortgage. Maybe should have put more cash down payment