Trafford Rent and Hold Property

[Alan Y.]

Investment Info:

Single-family residence buy & hold investment in Trafford.

Purchase price: $60,000
Cash invested: $12,000

SFH with equity that needed some repairs.

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

First, the area and equity and the cash flow potential. It mostly needed cosmetic work. Penn Trafford is a great school district and the street is very quiet.

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

On the MLS. It was listed over 100K a year ago and I first asked for 40K and got turned down. After some time, I reached out for 60K and it was accepted.

How did you finance this deal?

Conventional fixed loan

How did you add value to the deal?

Replaced older carpet with laminate flooring, repainted entire house. Drywall work. Removed knob and tube that was in basement and attic. Removed upstairs kitchen (originally a duplex) and added large walk-in closet.

What was the outcome?

The goal is to R2O once repairs are all completed within the next month.

Lessons learned? Challenges?

Check zoning when buying what you expect to rent as a duplex. Have people in your life encouraging you to win and look for people who you can trust to help with repairs and the business side of investing.

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

My agent was not a real estate investor but is great for buying own home. My lender also had challenges and was not good with communication. I'm looking for a real estate investor in my area with experience who we can team with me as we help each other with or goals. I am also looking for a lender with real estate investing experience. Would love suggestions!