Third deal: Single Family Residence
Investment Info:
Single-family residence buy & hold investment in Enterprise.
This is 1 of 3 SFRs we purchased on the same street. This neighborhood is a community of townhome-style houses.
What made you interested in investing in this type of deal?
We are planning for these SFRs to be our kid's college fund. We are going to do our best to pay them off in 15 years, and then either sale or cash-out refinance them to pay for college. I think our strategy as now is to refi one at a time to pay for college, and then use the monthly cash flow to provide monthly expense money for the kids. We will use this to give them a solid financial education.
How did you find this deal and how did you negotiate it?
We told our realtor of our plan and she went to several owners to see if they were looking to sell. Luckily, she found an owner that had 3 off-market properties that they wanted to sell.
How did you finance this deal?
Loan product from All In Credit Union
How did you add value to the deal?
All 3 appraised for more than we purchased them for. There is not really too much value to be added. The previous owner has replaced the HVAC, water heaters and put in granite countertops in the past couple of years.
What was the outcome?
Added 3 more doors to our portfolio.
Did you work with any real estate professionals (agents, lenders, etc.) that you'd recommend to others?
Pam Tyner at Team Linda Simmons Realty