Rough SFH to Cash-flowing property

[Justin Apple]

Investment Info:

Single-family residence buy & hold investment in Springtown.

Purchase price: $50,000
Cash invested: $30,000

Purchased a rough SFH west of Fort Worth, TX through an owner finance. Paid 50k with 10k down. I put 20k into rehab and made it a nice little house. Rented it to great renters for $900 per month. Looking to BRRRR it very soon to pull my cash out and do it again!

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

I had done a flip just before buying this property and made a good profit so I wanted to use that money to invest in something that would pay long term. A cashflowing rental was the answer.

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

The deal was on the mls and after looking at the property and seeing its condition I wanted to meet with the owner to see if owner finance would be an option and she was all in! We agreed on the terms and made it official. She didn't even do a credit check on me, we just did a handshake and that was that! Very easy!

How did you finance this deal?

Owner finance, 10k down and 6% interest for 20 years.

How did you add value to the deal?

complete remodel and converted the one car garage to a master suite. Huge value add!

What was the outcome?

Still renting it at the moment, looking to refi it very soon.

Lessons learned? Challenges?

I did most of the rehab myself which took way too long. Looking back I would've hired more of the work out to get done faster and get a tenant in there.