My First Buy Rehab Rent Refinance Rental

[Shaylor Anderson]

Investment Info:

Single-family residence buy & hold investment in Idaho Falls.

Purchase price: $118,000

Cash invested: $12,000

I did 85% of the rehab myself and hired out 15%. The rehab consisted of ripping out the old carpet and refurbishing the original hardwood floor, put in new window sills, removed old paneling in 2 rooms, sheet rocked, mud, and painted almost the entire interior of the house. Through the rehab I created 25% equity in the property. I followed the BRRRR strategy and am now looking to repeat with a new property. I am now most interested in getting a multifamily(2-4 units) property.

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

Cashflow! I was interested in creating some semi passive residual income in my life.

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

I found it looking on Zillow and Realtor websites.

I was able to negotiate a lower purchase price after pointing out several issues with the property that came up with the inspection along with the advantages of a cash offer. The seller already had a offer fall through and they were motivated to sale because they had there offer on another house excepted.

How did you finance this deal?

Private Investor. With some personal cash.

How did you add value to the deal?

Bought lower than market value and put in lots of sweat equity.

What was the outcome?

Created equity, rented it and currently am cash flowing each month.

Lessons learned? Challenges?

Don't put all your faith in a inspector your using for the 1st time.

Contractors are expensive, and doing the work yourself can take a long time but also save a ton of cash.