First House Hack Example

[Kevin Smith]

Investment Info:

Single-family residence other investment.

Purchase price: $316,000
Cash invested: $45,000

House hack. This was a turnkey 3/1 upstairs, and an unfinished basement downstairs. I lived in the unfinished basement for a year as we saved for renovating the basement to a completely updated. Two of us comfortably lived in the renovated basement for another year as we saved for a back up fund and down payment for our 2nd investment property.

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

The low down payment requirement for primary resident properties and great returns for renting by the room.

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

Driving by after touring another house, met the realtor putting in the sign and ending up using her a transaction agent.

How did you finance this deal?

Traditional conventional loan

How did you add value to the deal?

Electric was the one issue upstairs, and I had an electrician friend that was able to help me resolve the issues.

What was the outcome?

Fantastic

Lessons learned? Challenges?

Many