Two SF Homes for the price of one

[Angie Shires]

Investment Info:

Single-family residence buy & hold investment.

Purchase price: $30,000
Cash invested: $60,000

4/2 Brick home and 3/1 frame, was a part of an estate. Seller had listed on the MLS for over a year along with home next door. Neither had ever had HVAC, rewired, refinished wood floors, new cabinets, paint, fixtures.

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

It had been on the MLS for so long, I knew we could get it for the right price

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

They had homes listed together for $60,000, we offered 1/2 and didn't budge.

How did you finance this deal?

Cash

How did you add value to the deal?

Added HVAC, re-wired, and remodeled.

What was the outcome?

Still in the process of rehabbing. Brick home almost done, when both homes are complete we will cash flow over $700

Lessons learned? Challenges?

Rehab will be more than we originally anticipated, but we will still cash flow well because we bought so low. Learning to find good contractors that don't drag their feet!

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

I'm a licensed Realtor, and we paid cash. I love the challenge of finding that home that nobody wants, but has great potential. Love the process!