First Home - House Hacking 101

[Steven May]

Investment Info:

Single-family residence buy & hold investment.

Purchase price: $115,000
Cash invested: $3,500

Bought this home at 22 years old. The house was on the MLS for numerous months and was initially listed at 130k. After with the seller, we agreed upon 115k and the seller performed the repairs I requested as well as paid the closing costs.

3 bed, 2 bath

Price : 115,000
Down payment: 3,450 (3%)

Mortgage: $833/month

Rent from my 2 roommates: $900/month ($450/each)

The home has a half finished basement which I plan to completely finish.

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

I did not want to rent, I wanted to build equity.

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

I reached out to a local Real Estate Agent who helped me through the whole transaction. It was on the MLS.

How did you finance this deal?

3% down conventional loan

How did you add value to the deal?

I had friends who needed somewhere to live and I had the knowledge and money to purchase a home. They now pay my mortgage while living for cheaper than they did in their last places.

What was the outcome?

house hacking

Lessons learned? Challenges?

I'm learning as I go.

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

Samantha Salem - Real estate agent