1st Rental Property purchased!

[Andrea Livingston]

Investment Info:

Single-family residence buy & hold investment in Colorado Springs.

Purchase price: $121,680

Single-family home located in Colorado Springs, CO.
Approximately 1,526 square feet, 4 beds and 2 baths with a lot size of 8,600 square feet. Currently estimated in value at $246,300.

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

Our strong desire for & belief in PASSIVE INCOME!

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

My parents purchased this house in 1994 while my father was stationed at an Army base in Colorado Springs. They retired to Myrtle Beach in 2016 and have been renting the property since that time. My parents are now interested in moving out of the country and decided to sell the property. The renters aren't able/interested in purchasing. So, we thought it a great opportunity to swoop in & save the day. ;)

How did you finance this deal?

Assumed parent's VA Loan (3.75% interest rate)

What was the outcome?

The current renters will remain in the property.

[Andrea Livingston]

@Daniel Haberkost, @Jeremy Norman -  I know exactly what you're saying about the perception that Southeast Colo Spgs has. Like you, Jeremy, I grew up in Colo Spgs...well, my high school & college years. I went to high school on the "South side" (Sierra HS). But I didn't realize how the rest of the city perceived that area until I went to college and heard kids from the North part of town talking about it. Daniel, you're absolutely right, they don't know a thing about "rough" neighborhoods. Thanks guys!  

@Ben Halabi - Thanks!

@James Carlson - Thanks! I was reminded by my Partner, that the purchase price was actually $148K not $121K. Still a pretty darn good deal. We never thought about doing a rent-by-the-room model. We currently have a couple & their young kids in there who were renting from my parents for the past 3-4 yrs. They have a great record of being on time w/ rent, so we are hoping that they'll be staying for a while. If that changes, we'll definitely consider the rent-by-the-room option. Thank you for that idea. 

@Jose L Martinez - Thanks!