1st Home Investment

[Justin Rice]

Investment Info:

Single-family residence buy & hold investment in Porterville.

Purchase price: $169,000
Cash invested: $13,000

A beautiful 3 Bed 2 Bath home on a good size property. This home has a lot of potential. I am thinking of changing the plan to open up the kitchen and give the home more living space as well (an additional 500sqft). Me and my family are super happy to have the opportunity to do this and grow our investment as well.

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

Me and my wife were looking into expanding our reach and looked into purchasing our first property. And to top it off, we got a great deal just before the market took off again.

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

To be honest it wasn't easy. I didn't really know to much about the Real Estate business at first and it was hard trying to find out where to start, but with a little help from an agent in financing and real estate, we discovered it was a little more lenient than we expected. He helped us find the right deal at a great price at the least. Finding the right deal is the trick in not needing to negotiate harshly for a property.

How did you finance this deal?

We got an FHA loan, for it was the perfect way to start out for anyone who doesn't have much to put down right away, with only 3.5% down + closing up front, it was a no brainier. The only downside is that you can only have one loan out like this at a time and the home must be owner occupied.

How did you add value to the deal?

A little here and there, I have been remodeling the home to bring it up to date. New fences and doors make a difference. Eventually I will replace the windows and do other things but its a working progress.

What was the outcome?

Still in Progress