Fort Worth, Texas, SFR-BRRRR!

[Anna Catron]

Investment Info:

Single-family residence buy & hold investment.

Purchase price: $130,000
Cash invested: $10,000

SFR 3/2, 1600SF, 1/2 ACRE LOT. 1953 home in fairly decent condition. We house hacked this. It was my grandmother's and she needed help. We lived w her 10 years, so shoulda bought earlier, oops. None the less, we paid rent by taking care of a 90 year old for 10 years while having our babies. We bought and rehabbed it in the months before moving out of town. The market also greatly increased and made a bad neighborhood into a trendy one. Current ZILLOW estimate is $200,000.00!

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

Money, of course! My husband staying home is hugely important to us, so his real estate work is our second income. Rich Dad Poor Dad of course started my brain working 20 years ago.

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

We saw the market increasing quickly, so asked Grandma's children if they were interested in selling at 130K. Because we'd been debt free, forever, we actually had to buy a minivan (we were 42 years old and it was our first car over 3k!) in order to create credit. 3 months later, once we had credit, the house was already worth 150k.

How did you finance this deal?

conventional

How did you add value to the deal?

Redid the hardwood floors, laminate flooring where there wasn't hardwood, paint inside and out, redid 2 bathrooms, very basic landscaping.

What was the outcome?

Fabulous renter that made basic repairs and then billed us $20/hr for his time. His wife was an amazing decorator and so we got great pics for the future! They finished their lease, showed the house for us and new tenants literally arrived the next day!

Lessons learned? Challenges?

Buy sooner!!! We lost tens of thousands of dollars bc we thought we couldn't afford to buy.

Redoing hardwoods is the only job I've ever seen that my spouse decided he hated enough to pay to have done next time.

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

Joe Kralik is AMAZING!! Mortgage lender that also invests in RE!

https://www.jgwentworth.com/mortgages/about/branch-locations/texas-austin/joe-kralik