In the right place at the right time...

[Kathy Cooper]

Investment Info:

Single-family residence buy & hold investment in Naples.

Purchase price: $135,000
Cash invested: $165,000

Vacation Property Rental
2 br / 1 ba 1400 sf single family home, beautiful view, directly across street from the deeded lake access.

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

One of the most tranquil vacation lake areas I've ever come across... Our family has enjoyed this area for three generations.

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

The elderly woman sat at the window with the beautiful view, watching our family in our lake house. My father-in-law (as well as his father) was always very kind and helpful to her over the years. We were very surprised when we were approached by her niece one day with the opportunity of first purchase on the property, as she wanted our family to take care of her cherished home. The house was in great need of repair, so we put quite a bit of thought into it and then went for it!

How did you finance this deal?

We considered it to be worthy of investing into this property with every last penny of inherited funds. This money took a couple generations to build so it was like gold to us. Huge decision

How did you add value to the deal?

We were very hands-on in a year-long renovation. There was a lot of blood, sweat and tears along the way, but it really made it ours.

What was the outcome?

In the end, we had a lovely lake house that we were able to turn into a very successful vacation rental property. It is Maine, so the season is about 11 weeks (mid June to Fall). We manage it ourselves due to us being so close by, and sentiment. Each year we invest in a little more of an upgrade that we do ourselves over the Winter. We still enjoy this property as a family project. Golden decision.

Lessons learned? Challenges?

We learned, surface "hints" in a home are usually indicating a monster inside walls. I am still very glad we renovated it the way we did (very hands-on), as it was a tremendous experience, and we learned valuable lessons. I know what it takes to do work yourself, and am at a place now to hire just about everything out! Been there, done that! The experience of managing this property has allowed me to manage a second vacation property in San Antonio, TX for my Mom. That is going very well too.