Sold my primary by word of mouth

[Zac Boelkow]

Investment Info:

Single-family residence other investment.

Purchase price: $132,500
Cash invested: $25,000

I just bought a new primary residence and because I am always talking, buying, and working in real estate I sold my old primary by word of mouth! Sold it "as-is" and it does need some work.

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

After owning a primary house for a long period of time I have come to the conclusion that home ownership is the biggest liability for the average american they will encounter in their lifetime.

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

Negotiated the sale agreement by word of mouth. The buyer backed out after sending me a contract. I called the buyer direct to understand what information he had. After speaking with the buyer we agreed on some minor adjustments and now we are back in contract and everything looking good.

How did you finance this deal?

30 year mortgage with $5000 down.

How did you add value to the deal?

As a primary residence I maintained the property and poured money in to it. New roof, new windows, paint, new hvac, new pool pumps, landscaping, appliances, and on and on and on...

What was the outcome?

I had a nice property to live in that I could afford. Sold the property when it was time for me to move on. Sold the property in as-is condition without having to fix anything.

Lessons learned? Challenges?

Paying off your primary mortgage early will be your best financial move. Dont pay too much or buy too much for your primary residence. A primary residence is nothing but a huge liability.

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

The buyer hired a realtor and he is paying for that out of his own pocket. I am having a realtor friend help me on my end. My realtor is working for free because I did a couple deals with him last year. Closing with a real estate attorney that we have done deals with prior. I would recommend working with paid professionals.