1st property purchase

[Oscar Lemos]

Investment Info:

Single-family residence buy & hold investment in Wilmington.

Purchase price: $40,000

Cash invested: $10,000

4 bedroom, 2 full br and an unfinished basement townhouse. Redid the kitchen, extended 1 bathroom, new carpet and vinyl flooring thru out the whole house. Repaired ceilings and certain walls. All work done by me and my partner.

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

It was affordable with the money I had available. I didn’t want to get a loan, so I decided to start of small.

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

A friend of a friend told me about a family member that was unfortunate for them selling there house thru a short sale.

How did you finance this deal?

I used my own money I had been saving for years.

How did you add value to the deal?

I did my own research and inspected the house before contacting the agent. So once I contacted her I was ready to purchase with cash in hand. I did however bid way under the banks asking price.

What was the outcome?

It took a few months to hear a response, but eventually The bank counter offered with 40k instead of their initial 60k.

Lessons learned? Challenges?

Should of researched the property taxes, they are just as much as my home in Newark.

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

No.