First family home, single family rental

[Nicole Wood]

Investment Info:

Single-family residence buy & hold investment in Bath.

Purchase price: $93,000
Cash invested: $500

My first home. This was purchased before I found financial freedom or real estate investing. I was 21 with 2 kids and needed a home. I was a registered nurse and thought "this is your next step" following the same pattern as most Americans. I bought the home for 93,000 which included closing costs rolled into the loan. This was purchased using USDA guaranteed loan which requires no down payment. When I discovered financial freedom and was able to buy a duplex I did so and moved out of this home. It currently rents for $900 and the mortgage is $805.

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

I was following the standard "American Dream" steps in life.

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

On the MLS no negotiating was done unfortunately. ( I was 21 and naive)

How did you finance this deal?

USDA guaranteed loan

How did you add value to the deal?

Remodeled a few rooms. This home needs more work prior to selling in a few years. First and Foremost it needs VINYL SIDING!

What was the outcome?

Still renting, not truly cash flowing but covers expenses

Lessons learned? Challenges?

Negotiate every deal, no money in is not necessarily a good thing especially if its a single family home.

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

Lori Rouse was the realtor and she was wonderful in every way. I am sad she has since retired and moved to Florida.