Buy and Hold Rental in Great Neighborhood

[Chris Phillips]

Investment Info:

Single-family residence buy & hold investment in Tyler.

Purchase price: $225,000
Cash invested: $30,000

Great SFH in a neighborhood close to our home. Professional tenants.

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

It is in a good neighborhood with good schools. It is a higher-end rental so it has attracted a good tenant base.

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

I knew the seller personally

How did you finance this deal?

85/15 traditional 15-year loan with local bank

How did you add value to the deal?

The house hasn't needed much. The former owner did alot of updates.

What was the outcome?

Good consistent rental. We have paid down the loan to $150K as of 10/1/18 and the market value is appx $325K

Lessons learned? Challenges?

Always have a good handyman on call!

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

I am a real estate agent