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 Coronado home I purchased to rent out and vacation in.

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. I grew up in the San Diego area and am very familiar with values and rentability.

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

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 asked my realtor to find me a house just like 10 Gingertree because I loved that house and wanted to move back. She was on the look out for that model.

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 paid cash and I think that got me a better deal...I offered a quick close... Once I purchased I fixed it a bit (mostly cosmetic) I staged it with furniture I bought for that house, it's super cute now.

What was the outcome?

It gives me a place to vacation for free and $3,500.00 a month income when I'm not staying there. After all expenses (tax, insurance, HOA etc) I make about $2,000 a month profit.

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.
After telling my realtor in Coronado I wanted a house like 10 Gingertree... One day she called to tell me the Realtor was putting that exact house on the market at 2PM and if I wanted it I needed to come up with a cash offer by 2pm that day to keep it off the MLS. I assumed it would be about $1,100,00.00... when she said $750.00 I jumped.

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.