My First Buy and Hold Investment

[Brian L Dowler]

Investment Info:

Single-family residence buy & hold investment.

Purchase price: $55,000
Cash invested: $5,000

My first starter buy and hold property. One bedroom rental. Had no idea what I was doing but jumped in, and now looking to expand into other opportunities with more knowledge and money.

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

I needed to diversify - too much of my retirement was in 401K assets.

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

I have a good friend who is a real estate agent in the area. Negotiated through her agency.

How did you finance this deal?

Cash on hand and HELOC.

How did you add value to the deal?

Did some light sprucing up - landscaping, new stove, cleaning, etc. Did not take much - house has a new 5-0 year roof, new water heater, new heat, new floors. Did not buy as a BRRRR or flip but a pure buy and hold where the renter pays it off for me.

What was the outcome?

Just getting into it.

Lessons learned? Challenges?

Would now look for properties where I can add value through refurbishing above the costs of the refurb.

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

Colleen Cooper, Berkshire Hathaway.