Condo purchased, rehabbed and rented during COVID19

[Ruth Lyons]

Investment Info:

Condo buy & hold investment in Reisterstown.

Purchase price: $54,000
Cash invested: $18,200

2 bedroom, 1.5 bathroom Condo that needed complete rehab. Decent area, top floor level in garden style complex. Crew worked during Covid. Purchased 4/22/2020 and tenant occupied on 6/12/2020. Total investment is $72,200. Only issue I ran into is that it was hard to get some supplies because of the pandemic. Purchased with cash. Taxes are low but condo fee is a little higher than I like. Annual rental income is $15,900. Annual expenses (taxes, insurance and condo fee) are $6,220.

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

The numbers worked and I wanted to add another cash-flowing rental to my portfolio.

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

MLS

How did you finance this deal?

Some HELOC funds from another rental I own outright, plus cash

How did you add value to the deal?

Complete rehab

What was the outcome?

Great cash-flowing rental with tenant already placed

Lessons learned? Challenges?

It was very challenging to get rehab supplies during COVID. For example, I had to go to 4 different locations to get the right sized cabinets as Home Depot didn't have sizes I needed in stock in at any one store.

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

I am an agent. I agreed to use the seller's title company to save time and money.