Fix and flip became a rental instead

[Darlene Hoover]

Investment Info:

Single-family residence buy & hold investment.

Purchase price: $9,000
Cash invested: $51,000

Single family rental

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

Wanted more than 1 line of income.

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

County tax auction.

How did you finance this deal?

Cash

How did you add value to the deal?

Total interior remodel, new windows, siding, roof, insulation, heating system, shrubs.

What was the outcome?

More money in it than Lyons market will hold. In another town this house would have double the market value. So it is unsalable for the price we need and so we have to rent it out.

Lessons learned? Challenges?

If someone is living, or recently lived in a house getting sold over tax auction, it is NOT LIVABLE with many years of neglected maintenance. A house setting empty may have been winterized and cleaned out from when the owner died 2 years ago and will be in much better condition.