Long Term Investment Property 4

[Jessica Wix]

Investment Info:

Single-family residence buy & hold investment.

Purchase price: $345,000
Cash invested: $69,000

My strategy is to add one long-term rental property per year to my portfolio. My buy box is a home 5 years or newer, A or B-rated schools in the 200K-400K range that will appreciate over time with someone paying down my debt. We added some instant value to this one, changing fixtures, adding accent walls, and altering kitchen cabinets.

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

New construction, builder preferred lender helped buy down rate, I negotiated builder to add appliances and blinds, and negotiated price.

How did you finance this deal?

Conventional investment loan

How did you add value to the deal?

Extended kitchen cabinets to ceiling to help look custom, changed all light fixtures, added cabinet hardware to cabinets, added accent walls, added swing to front porch.

What was the outcome?

Leased in 48 days to A+ tenants.

Lessons learned? Challenges?

Great house, I would do it again. It appraised for 10K more than we bought it for, its in a great area and will only appreciate over time.