First deal(Lots of headache & pain, but at end lots of profit)

[Neerav Patel]

Investment Info:

Single-family residence buy & hold investment in North Wales.

Purchase price: $190,000
Cash invested: $30,000

This is our primary home and first deal. We bought it , renovated it and Raised value of property to more than $100,000.
After that we got heloc on that spread and used that to buy more properties.
We currently rent out one room upstairs in Airbnb and our garage and live almost free, since those 2 income combined are more than our mortgage, tax and insurance

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

We were planning to buy our primary care home.One of our major concern was, what if we have to sell that soon, than we will loose money and started to do research to avoid it. And that is how we found BRRR method

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

We found it on foreclosure of HUD. We put more than 30k above asking offer because it already had more than 25 offer and it was massively lower than it should be

How did you finance this deal?

We did traditional 80-20% mortgage

How did you add value to the deal?

We rehabbed whole inside, including HVAC, flooring, new kitchen, new baths, paint. We did many of work ourselves to save money

What was the outcome?

Property price increased almost if not more than $100k

Lessons learned? Challenges?

Contractors were the biggest challenges, but learning and executing on it with hard work usually pays off

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

Agent -Adam Wachter(Highly recommended)
Bank- Hatboro Federal Savings(local bank and highly highly recommended)
Thanks to loan officer Lee Bergiven