Where The RE Addiction All Started...

[Kendra Ellis]

Investment Info:

Single-family residence buy & hold investment.

Purchase price: $107,000
Cash invested: $2,000
Sale price: $140,000

This was our 1st Buy & Hold. We bought it when we 1st got married, lived in it for 2 years, added paint and hardwood in the living room then turned around and sold it for $33,000 more then what we bought it for.

We were hooked!! From then on it was our goal to do live in flips until we have a house paid off free and clear! And we did so after our 3rd Buy & Hold!!

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

We just got married and wanted to buy a house together. I have always been told to buy low and sell high! We bought this as a foreclosure in a great area of town and there was a lot of 1st in the house. 1st time my husband installed flooring, 1st time he patched a sheetrock hole, 1st time I painted a house, etc... It's funny to look back now because what we did was so basic and we messed up but you got to start somewhere!

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

It was on the MLS as a foreclosure, It went multiple offers but since we went just a smidge over asking and we were owner occupant we got it!

How did you finance this deal?

We got a FHA loan with the seller paying our closing costs and my mother in law gifted us the down payment because we were broke!

We did pay her back the day we closed and surprised her with a bunch of cash!! She did not expect it but we like to give back what was given to us and we appreciated her helping us out.

How did you add value to the deal?

We did a few things to fix up the house ourselves, hardwood in the living room, new paint & new fixtures.

What was the outcome?

We listed it on the MLS and got multiple offers above list price!

Lessons learned? Challenges?

Because we lived in the home for over 2 years we got all the profit TAX FREE!!! We found a decent deal and just waiting for the market to change all while living there rent free! My husband and I worked at a gym and had no experience with RE until after this house and this truly is where it all started! It's where our marriage started, where our 1st child was born and where we decided that we will make RE our careers!

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

Who we used for this deal is now and forever will be our core team!!
- Buyer's Agent- My mom, Traci Greene with The Greene Team with Coldwell Banker Wallace & Wallace
- Lender- Marissa and Margo with United Capital Lending
- Listing Agent- Kendra Ellis with The Greene Team with Coldwell Banker Wallace & Wallace
- Contractor- Lee Ellis with Ellis Construction Concepts/ Nice Flippin Homes