First Investment back in 2010

[Dave Fulkerson]

Investment Info:

Single-family residence buy & hold investment in Lake St Louis.

Purchase price: $119,000
Cash invested: $28,000

I bought this property back in 2010 and it has never been a month with out a lease. It was a foreclose and I didn't do any work do it. I had it on a 15 year note and refinanced it back in 2014 and brought the payment down to $400 per month, plus HOA, taxes and insurance. I eventually got the principal mortgage down to $60k. I refinanced again in 2017 and took out $60K in equity. It appraised at $180K. Now i have a note for $120K and I used the $60K to invest in more properties.

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

I always wanted to get investment proeprty.

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

Shopped on the MLS. By buddy was an agent. I was active in the Marines, I came home on Christmas leave and bought it.

How did you finance this deal?

Traditional mortgage.

How did you add value to the deal?

I didn't.

What was the outcome?

Still own it. I almost sold it. I'm glad i did not, having to pay back the depreciation and taxes on the profit would have not been cool.

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

When I got out the Marines, I did loan processing for BOA. It sucked... so i got may license and decided to be an agent full time. I failed at that. While I was working for my buddies brokerage they let me manage their property management portfolio. I really liked it. I eventually had to leave and get a real job again. Eventually, my old broker wanted to sell the management business. I purchased it in 2015 with a partner, quit my job in Logistics and now I love what I do.