New rental under contract, will close next week

[Brandon Cooper]

Hi all, i found this property on the mls and was able to walk thru it the next morning. The ask was 65k. Arv is approximately 80k. It needs about 20k in repairs, new roof, windows, a bit of electrical work, water heater, some exterior maintenance and paint and a few other misc. things. I came in with an offer of 30k and with a bit of back and forth we settled on 40k. Thru due diligence and inspections i wasnt comfortable with paying 40k so i stood firm on 30k and didnt think i had a chance of getting it. Well on final day of due diligence, they accepted the offer.

So my plan now is to BRRRR it. After renovations i will be all in for around 55k. Ill refi out 60k into a 30 year mortgage. Itll rent for 800. After expenses itll cashflow $250. With no money in the deal (after refi), ill basiaclly have a free cash flowing rental and a free 20k in equity. Pretty sweet deal imo