First home purchase turned rental

[Ben Bonin]

Investment Info:

Single-family residence buy & hold investment in Moss Bluff.

Purchase price: $240,000
Cash invested: $40,000

Built in 2001 and has 2028 living sqft. 3/2

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

Before deciding to rent, we listed the property and had it under contract in under 12hrs. The buyer offered a cash offer at 255k and we accepted. After inspection she wanted the roof to be replaced. Roofer found hail damage advised me to file a claim with my insurance. The process was taking too long and the buyer ended up walking away do to an expired contract. A week later I found a tenant and the insurance company sent me a letter saying they would place the roof.

How did you finance this deal?

VA loan

How did you add value to the deal?

Rehab

What was the outcome?

I found a tenant on Zillow and we are now renting the property for 2k a month. Mortgage and escrow is 1280 a month.

Lessons learned? Challenges?

I learned how comps work (after we became real estate agents), the ease of using Zillow to find tenants, and I am more aware of the lifespan of shingle roofs in this area.