Primary SFH turned lease option

[Brian Christensen]

Investment Info:

Single-family residence buy & hold investment.

Purchase price: $114,000
Cash invested: $30,000
Sale price: $140,000

Primary home turned into lease option

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

First venture into REI. Market was down and we upgraded.

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

Walked by the home with for sale sign. They were moving and needed to sell fast.

How did you finance this deal?

Conventional financing.

How did you add value to the deal?

Renovated bathroom and kitchen

What was the outcome?

Great cash flow. No fixing as per lease option agreement

Lessons learned? Challenges?

Purchasers with poor credit. Took them too long to buy. That place now appraised for 100k more than what we bought it and our cash flow would have been $700 by now or paid off loan.

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

On purchase.