Purchased a Swannanoa property 2 weeks before Helene!

[Lisa Hart]

Investment Info:

Single-family residence buy & hold investment.

Purchase price: $390,000
Cash invested: $390,000

Brand new construction nestled in the Grovemont neighborhood and conveniently located just 15 min from downtown Asheville & 10 min from Black Mountain. 3BR, 2.5 Bath, front and back deck, nice natural light. Municipal water.

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

We moved to Asheville in August and purchased our primary home in Weaverville, which is a cozy fixer upper on one acre. My partner is a carpenter so that was what we wanted. I had a 1031 exchange money to buy an investment property and did not want another fixer upper, so I decided to get a new home that was move-in ready.

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

Our realtor found it, we were able to talk the seller down by $10,000.

How did you finance this deal?

1031 Exchange paid in cash, no mortgage.

How did you add value to the deal?

Helene caused some serious erosion to the lawn which came within five feet of the foundation. I ended up spending another $7,000 to replace the dirt. Because it was a new construction, the land that was built up around the property did not have time to even grow grass, so it was easily washed away. This spring we are going to work on the landscaping, which was the original plan anyway. Looking for advice on plants that will grow deep roots quickly and hopefully prevent future erosion!

What was the outcome?

We are very blessed that we found tenants before Helene who decided to move in despite the destruction in Swannanoa. I am getting $2500/mo rent.

Lessons learned? Challenges?

I would spend more time looking for a property. I felt a lot of pressure with the timeline of the 1031 and just moving to the area and dealing with all of the other aspects of being in a new place so I chose the first deal that seemed reasonable. I feel lucky it was not in the path of Helene and the construction was not damaged!

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

Yes, Sierra from Wolf Den Realty is wonderful.