Condominium Cash Deal-Buy and Hold.

[Jonathon Thompson]

Investment Info:

Other buy & hold investment in Newport News.

Purchase price: $50,000
Cash invested: $50,000

Cash Deal on a Turn-Key 2bd 1 ba condo.

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

Property appraisal on the unit came back at $56k so we made $6K in equity immediately.

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

We found it through the MLS and got it under contract for 54K with inspection release contingencies. We ID'd approximately $7K worth of "Estimated Repairs" and walked the sellers back on the price using those repairs costs as leverage.

How did you finance this deal?

It was a cash purchase.

How did you add value to the deal?

The unit is not in need of any major repairs at this time and its a condo so the risk of major repairs is relatively low compared to a single family home. Little Repairs coupled with the fact we know the unit is worth 6K more than the purchase price gives us instant equity in the deal.

What was the outcome?

This will be month 1 with the unit but no issues have yet to arise from this deal.

Lessons learned? Challenges?

Closing took a little longer than normal. Will budget that time more appropriately next time.

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

YES! Cheyenne Penn of Keller Williams Chesapeake, VA. She is simply the best!