Coronado California Rental

[Mary Erickson]

Investment Info:

Single-family residence buy & hold investment in Coronado.

Purchase price: $750,000
Cash invested: $750,000

This is a home I purchased to rent out and vacation in. I actually lived in this house years ago as a tenant and fell in love with the place but had no money at that time. I moved to Texas and a few years after my move my realtor in Coronado called to tell me they were putting that exact house on the market at 2PM and if I wanted it I needed to come up with cash by 2pm that day to keep it off the MLS. I assumed it would be about $1,200,00.00... when the realtor said 750,00 cash as is I just wired the money.... just hoping the place had not been destroyed in the last few years. I bought it "as is" and arrived a few weeks later to check it out, it was just as I remembered, clean but in need of a little update. I put about $30,000.00 into it and it now rents at $3,500.00 a month (I do just month to month) and I use it as my get away when it's not being rented out.

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

I love Coronado and I know homes will rent well here. It's quiet, secure and a short walk to the beach

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

A realtor friend I kept in touch with who knew how much I loved this house when I was the tenant

How did you finance this deal?

All Cash I made in a successful business I ran

How did you add value to the deal?

I fixed it a bit (mostly cosmetic) I staged it with furniture I bought for it

What was the outcome?

It gives me a place to vacation for free and $3500.00 a month income when I'm not staying there. After expenses I make about $3000.00 a month.

Lessons learned? Challenges?

Keep in touch with friends, treat people right and they'll keep you in mind when a deal comes up. Always let everyone know exactly what you want.

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

Yes I did. I recommend Karen Hust in Coronado, without her I would NOT have this house. She's looking for another one now because I'm ready to buy one more there. She is also selling my 3 cottage property in Normal Heights San Diego....I trust her 100%. Message me if you want her info.