Rental turned into Sale

[Michael Mortensen]

Investment Info:

Single-family residence buy & hold investment in Sheffield Lake.

Purchase price: $60,000
Cash invested: $17,000
Sale price: $110,000

Bought a SFR from an online auction for use as a rental. I had the ability to pay a few extra dollars for it and did. Put 17k into it ( Roof, Appliances, Shaker Cabinets, Quartz Countertops, Doors, Wide Plank Flooring etc) I was testing out my theory of providing some creature comforts that the local high end markets have in a market that isn't high end (B- neighborhood). This deal was all cash and I had planned on BRRRing is once i was done. I used one of the recommended Landlord software (Avail.co) and put up the listing. I had 38 communications, 12 showings and 3 applications, 1 of which wants to purchase it and not rent it. Now I'm in a pickle due to already flipping some property earlier in the year and trying to lower taxes at the end of this year. LOL what to do. Well at least my theory was correct... make it nice and people are willing to pay.

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

I needed a some buy and hold so i can pass through some expenses to my LLC lowering my taxes.

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

Online auction

How did you finance this deal?

Cash

How did you add value to the deal?

Rehab, Market Knowledge

What was the outcome?

Deciding if i want to sell outright or do a rent to own.

Lessons learned? Challenges?

challenges are taxes. Everything i do is trying to avoid having a monster bill at the end of the year.

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

No