From Recovery Home to Vacation Rental

[Jim Quaschnick Jr]

Investment Info:

Single-family residence buy & hold investment in Emigrant Gap.

Purchase price: $272,000
Cash invested: $290,000
Sale price: $450,000

This was a cabin we purchased with a self directed (Check Book IRA).

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

Purchased to rent to a recovery ministry. They messed it up after years. We needed to figure out a way that it could still be used for ministry. So we fixed it up and sold a 1/2 interest and carried back the financing. Put $50,000 plus a monthly income. Is available for Church group retreats 7 bedrooms, two living areas and a large kitchen with ski resorts, lakes and waterfalls near by.

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

MLS - Motivated Seller

How did you finance this deal?

Self Directed 401K

How did you add value to the deal?

Rehab and additional structures.

What was the outcome?

Great deal with cash in our pocket and monthly cash flow from carry back and rents.

Lessons learned? Challenges?

Be careful who you rent to.

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

No