First Deal: Tax Lien in Atlanta

[Ashleigh Evans]

Investment Info:

Single-family residence buy & hold investment in Atlanta.

Purchase price: $5,000
Cash invested: $50,000

I bought this property as a tax lien in July 2015. There is a great post on BP about buying a tax lien in Fulton County. My grace period ended in July 2016 and I began renovation December 2016. I’ve had a tenant since May 2017.

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

This was the first type of "REI" strategy I'd ever heard of. I met someone who told me they'd teach me everything I'd need to know, so I listened.

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

Raised my hand at an auction. Didn’t even know which house I bought (don’t do this).

How did you finance this deal?

Cash - it was 5000.
I took out a personal loan for the rehab (don’t do this either, at least not if the interest rate is going to be 13.5%)

How did you add value to the deal?

I didn’t.

What was the outcome?

My first tenant moves out in March. There’s no mortgage on the house, and she paid $995/mo

Lessons learned? Challenges?

If you have any questions, just message me!

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

Kerry Greaves was my GC. He’s also an interior decorator, and he was AMAZING. Definitely a good person for first time rehabbers in Atlanta.

[Ashleigh Evans]

Oh wow! I just saw all of these responses - thanks everyone!

@Jerry K. I never got the house appraised but its Zestimate is 109K. I’m not opposed to selling it but since it is profiting, right now I don’t have any plans to sell it. Upon researching the last recorded owner, we realized he died a few years back, and there was no one else to claim the property.