Second Investment/First Condo Property

[Tucker LaClair]

Investment Info:

Single-family residence buy & hold investment.

Purchase price: $225,000
Cash invested: $40,000

2 Br/2 Bath condo in the heart of Portsmouth, NH. Only 10 minutes from downtown and beaches! Great community with pool, tennis courts and walking trails.

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

Moving to the area for work and wanted to start renting out my first property that I purchased two years earlier.

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

Referred to a realtor in the area by my previous realtor.

How did you finance this deal?

Financed through a major bank.

How did you add value to the deal?

New vinyl flooring throughout the condo, new counter tops, painted walls and cabinets.

What was the outcome?

Forced appreciation valued the condo around $250,000.

Lessons learned? Challenges?

Learned about the challenges of possible cash flow through a condo with an added monthly HOA fee. Cash flow will be minimal even with myself managing the property. Going forward I will focus my investments on single family homes and small multi-family properties.