First Home Purchase (Buy, Hold, Sell)

[Alex Puente]

Investment Info:

Townhouse buy & hold investment.

Purchase price: $430,000
Sale price: $510,000

Kailua is an incredible location and also home to the best public school district on Oahu. The location of the property is within a mile of the primary highway system that feeds into four military bases located on the island.

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

I wanted to own property in Hawaii. It is a beautiful place to live but very difficult to gain a foothold there unless you are boots on the deck. I bought this property just before moving on to my next duty station.

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

I connected with one of the best agents on the island and made sure our goals aligned, and we were able to find this property within a couple of weeks after working together.

How did you finance this deal?

VA Home loan, zero down

How did you add value to the deal?

I upgraded some electrical and appliances over the three years that I owned the property.

What was the outcome?

I was hard-pressed for cash and decided to sell after owning for just under three years. After taxes and fees, I netted around $70K.

Lessons learned? Challenges?

I could have managed the property myself from abroad (I lived in Thailand the entire time I owned the property). I was afraid that I would not be able to handle an emergency if it came up. By using a PM, I broke even on rent and did not see any returns until I sold.

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

Yes, my agent on the deal was Erin Cooper. She is fantastic, and I would recommend her to anyone looking to buy property on Oahu.