First Investment - Where to go now?

[Brock Peel]

Investment Info:

Single-family residence buy & hold investment in Angus.

Purchase price: $349,000
Cash invested: $21,000

Single family townhouse, 1600sqft.
Currently renting out for $1650 a month, I Put the minimum down of 5%. So total cost of mortgage, PT, insurance, is $1710. No extra cash for profits. Was first home purchase at 20yrs old. Will hope to improve profit margins in future deals.

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

Wanted to get into the market as soon as possible to start building equity

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

Sister was selling, waited out listing agents contract and bought privately at 10% BMV

How did you finance this deal?

Had a 20K truck loan with no lean, sold truck and used cash for down payment

What was the outcome?

Lucked out with great tenants, have been there 2.5 years with not a single issue. Only been there a couple times for walk throughs, and to bring new fire alarms.

Lessons learned? Challenges?

Cash flow isn't high enough, 5% down really limits you for potential cash flow and turn over time for withdrawing equity.