Good primary residence, not so good investment

[Michael Weiss]

Investment Info:

Single-family residence buy & hold investment in Longmont.

Purchase price: $290,000
Cash invested: $10,000

Bought this house as our primary residence and then kept it as a rental when we moved. It isn't a great investment since it wasn't purchased with that in mind.

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

Purchased because we loved the design and location rather than because of the financials. No analysis done as a result.

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

Used a realtor. Negotiating wasn't an option because of the hot market.

How did you finance this deal?

VA loan

How did you add value to the deal?

We put a lot of money in the short time we lived there--tankless water heater, egress window to make the basement bedroom conforming, bamboo flooring in the basement, a privacy fence around the entire backyard, backyard landscaping, and other smaller improvements.

What was the outcome?

Currently considering our long-term options.

Lessons learned? Challenges?

If we decide to move again, won't keep our current house as a rental. For me at least, the things I look for in a place to live are too different from what I look for in an investment property.

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

In buying this house, we worked with Leah Hedrick of MKB Realtors in Roanoke, VA. She was outstanding and went way above and beyond, even helping us well after closing. I'll gladly pass on her contact info to anyone looking in this market.