First Rental Property Investment! Augusta Ga.

[Derek Norris]

Investment Info:

Single-family residence buy & hold investment in Hephzibah.

Purchase price: $78,000
Cash invested: $78,000

SFH 3/2 1,463 SQFT Built in 1987

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

First and foremost the location and numbers. It was already rent ready due to a recent flip from another investor who did a great job remodeling. He took the time to pay attention to detail when making repairs and adding cosmetic updates. We had walked through so many remodeled or fix and flip homes that were "slapped together", that the workmanship lacked severely. So being rent ready was another big factor.

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

Our real estate agent.
We did our research on the history of the seller's purchase price and comps in the area. We wanted to buy below market value, just like all the author's in BP community advise. Since it was a fix and flip for him we felt we had some wiggle room from the listed price and put in a low offer. We kept a max dollar amount that we would spend and we came to an agreement right below that.

How did you finance this deal?

Cash deal.

How did you add value to the deal?

Having a cash deal, in my opinion certainly helped. It created a situation where we could close fast.

What was the outcome?

Closed in I believe 10 days from contract.

Lessons learned? Challenges?

Not a lesson learned but maybe a something to pass on. I did about a year of research combined with networking/building a team of great individuals/professionals prior to purchasing our first investment property. Having that lined up going into this deal helped out tremendously. Knowing what had to be accomplished after the contract was excepted was paramount. I had the lawyers/title company/home inspector all on standby. Getting the title history checked seems to always take the longest.

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

Yes! Real estate agents: Jennifer Ramey and Vicki Flores and their entire group! They are absolutely amazing. Investor friendly and go getters.