Door #1

[Stacey Paulin]

Hello BP!

My husband and I are officially real estate investors.  After an abysmal failure earlier this year I thought we would never get up, dust ourselves off and try again.  Reading the forums and listening to the podcasts helped tremendously while we licked our wounds.  I'm so glad we didn't give up.  

We purchased a 3 bed 1.5 bath home, 1500 square feet on half an acre:

Purchase price: 66K; 20% down payment

Rent: 850.00

PITI: 390.00

Vacancy: 10%

PM: 8%

Repairs: 10%

Cap Ex: we have a separate account set aside for this that we fund ourselves and contribute to monthly.

Rehab costs: 3K (paint, flooring, cleaning)

Monthly cash flow: 222.00

Cash on Cash return: 16%

I'm happy to have our first deal done.  We've learned so much and are eager to get door #2 under contract soon.