Perfect BRRRR Deal in AC NJ

[Jasmin Elalfy]

Investment Info:

Single-family residence buy & hold investment.

Purchase price: $120,000
Cash invested: $30,000

We purchased this property from a wholesaler. We were happy that we got a really nice single family home for a cheap price, and the wholesaler made a sizable fee. We put in around $30,000 to replace the roof, floors, paint and kitchen. The bathroom was pretty decent, so we were able to just get it professionally cleaned and the house was ready to rent. Cashed out refinanced and got our initial down payment back.

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

Cheap entry!

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

Found it through a wholesaler, we actually tried to sell it to other buyers and nobody would bite so I ended up buying it myself.

How did you finance this deal?

We used cash to buy but cashed out refinanced as soon as we were done with the work and rented it out to a tenant.

How did you add value to the deal?

We renovated kitchen, floors, paint and roof.

What was the outcome?

Good cash flowing rental $800.mo on top of paying off our debt & expenses.

Lessons learned? Challenges?

you have to wait 3-6 months to cash out refi after purchasing even if it is cash!!