Alexandria gold mine

[Jon Tripp]

Investment Info:

Single-family residence buy & hold investment.

Purchase price: $271,000
Cash invested: $13,000
Sale price: $449,000

Bought this as a property to live in initially and then rent out when we moved to our next house. I ended up renting as a standard rental, then as a corporate rental and then as a vacation property. Great first rental.

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

Honestly it was more of a forced savings thing. Then when we started looking at larger homes, I figured I'd rent out for a couple years to pay down mortgage and let the market appreciate it.

How did you finance this deal?

Standard residential financing: FHA loan

What was the outcome?

Sold at a solid profit.

Lessons learned? Challenges?

Probably could have sold earlier and saved paying capital gains (ouch).

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

I'm a Realtor so I was able to handle the deal myself.

[Jon Tripp]

@Jack Orthman so this was a primary residence that I built and lived in for about four years. I turned it into an executive rental and then VRBO property. I did any and all upgrades. I was the Realtor for the deal. The magic here was a combination of time plus the market hotness. This wasn’t a flip. It was a house hack plus buy and hold combo. Profit well exceeded $100k and I ate a $40k capital gains check to the gov. The only difference I would have done today would have been to 1031 it.