Updated almost 9 years ago on . Most recent reply
from newbie to 5 SFR properties in 1 year
Hello BP,
After listening to podcast 167 with Kevin Wood, I am posting of my successes for my first year of investing. I've been reluctant to post because my family has raised me right which means you don't talk about money and you definitely don't brag about it... Some of you will relate, I'm sure.
Deal 1 3/1.5/2, 1152 sq ft. built in 1982 in Mustang OK school district. pd 61k, put 26k into rehab/closing costs/etc. All in at 87k. Appraised at 115k. did a cash-out refinance for 92k. Currently rented for $1150/month
Deal 2 3/2/2, 2250 Sq ft, built in 1983 in NW OKC. pd 85k , put 30k into rebab, etc. All in at 115k. Appraised for 160k. did a cash out refinance for 120k. Currently rented for 1,300/month.
Deal 3 3/1.5/2 1087 Sq ft, built in 1972 in Yukon Oklahoma, pd 78k, put 11k into rehab, etc. All in at 89k. Appraised for 100k :-( My CMA would have had it around 110k but this happens sometimes. I did overpay for this one; got a little over-confident... It rents for 1,000/month
Deal 4 4/1.5/2 1700 Sq. ft, built in 1966 in Yukon Ok, pd 82,500. Put $0 into this one because it was move in ready- moved my family into it. It appraised for 124k in the same condition that I bought it. We financed it for the purchase price and put it on a fixed 30 year note for 700/month mortgage for us(escrowed insurance & taxes included). I put a few grand into our previous house and made it a rental for $925 a month(below market but we were marketing it in December so we dropped it a bit to get a good renter). At some point, the house we moved into will be a rental as well so that will be even better as we see it through as a long play.
Deal 5 3/1.5/2 1172 sq ft, built 1966 in Yukon OK. Pd 71,500. Put in 19k. All-in at 90k & It appraised for 107k. Not great but not awful. We are leaving about 4k into this deal after everything is said and done. Rented for $950/month.
With any luck, I can get at least 5 more SFR's this year. I have also been researching the in's and out's of multi-family investing and hope to get into that market as soon at the right opportunity presents itself. I am definitely open for advice if anybody thinks I might need to re-evaluate my strategies or has any wisdom to share.
Lastly, many thanks to the BP community, Josh & Brandon for this great resource!
Most Popular Reply
@Jimmy Martz - Congrats on diving in head first. A few questions for the good of the group
- Were all of these deals found on the MLS by chance?
- Sounds like you used your own funds to purchase and rehab as well, or was there financing involved for the cash out?
- How long did the renovations on each one take to complete?
- Did you do the renovations yourself or did you use a contractor?
- If contracted did you sub out all the jobs yourself or did you hire a GC?
- If you did sub out the work, or use a GC, where did you find them? Newbie's are always asking about where to find good contractors, so it would be great if you can share how you did this.