Single Family Condo in Oahu, HI

[Michael Spadoni]

Investment Info:

Single-family residence live in; buy & hold investment.

Purchase price: $398,000
Cash invested: $13,000

3/2 Condo. Unit was all original from 1986 and needed updating on interior elements.

Complete Rehab: floors, walls, ceilings.

In progress Rehab: Kitchen, Master Bath.

Planned Rehab: Guest bath.

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

I wanted to find a deal that I could immediately force some appreciation in price through updates.

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

I found it through a realtor. The market in Hawaii is always hot so there are limited deals in this price range. I was searching for about 6 months before this property became available. Once I found it though I moved quickly to assess and submit a deal with my realtor. There is not a lot of room to negotiate in this market so I leveraged the needed upgrades for a price reduction.

How did you finance this deal?

I used traditional funding and a VA loan.

How did you add value to the deal?

I rehabbed the interior. The market appreciation through holding is also a great aspect of the Hawaiian real estate market.

What was the outcome?

Still in progress.

Lessons learned? Challenges?

Certain aspects of Hawaii Real Estate can be confusing; Fee Simple, Land Lease. These are important as the prices are dramatically different. Be aware of this as it can waste alot of time during your research if you are moving down the wrong path.

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

I used Locations Real Estate Agency. My realtor was Christina Davis. My mortgage broker was Kelli Ishii. They are great professionals and would work with them again in a heartbeat.