Buy and Hold Class D Property with Tenants Already in Place

[Brandon Stone]

Investment Info:

Single-family residence buy & hold investment in Eastpointe.

Purchase price: $16,000
Cash invested: $16,000
Sale price: $52,500

4 bedroom 2 bath D class, foundation. D class property

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

I had just accumulated a lot of cash during a public accounting internship and was seeking to find a deal

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

Met the landlord at the time through word of mouth

How did you finance this deal?

Cash

How did you add value to the deal?

Very Little Improvements, the strategy was to hold for appreciation

What was the outcome?

Sold for $52,500 on 3 year Land Contract. $20k down, 6% interest

Lessons learned? Challenges?

Wish I would have made more effort to find funding for similar deals that were available in that market at the time. I was so confident that these types of deals were winners but I did not go the extra mile to find more funding to replicate.

A few property management mistakes along the way.

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

No