22 Aloha Circle, SFR, Sherwood, AR

[Damon Cluck]

Investment Info:

Single-family residence buy & hold investment.

Purchase price: $55,000
Cash invested: $10,000

This is a 3 bedroom, 1.5 Bathroom house I replaced the HVAC, installed a new garage door and updated the kitchen.

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

I am primarily a Buy and Hold investor.

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

that I found on Facebook Market Place . The owners had used for a rental for several years. They tried to sell to a neighbor, and made the mistake of allowing the neighbor to begin "renovations" before having their financing straight. They had done a lot of very poor dry wall repair and had remolded a bathroom. The HVAC was out. Once the Owners figured out the the previous deal was not going to close and the house was not in rent-able shape, they just wanted to dump in ASAP. I got it for $55,

How did you finance this deal?

I used my HELOC because the buyer was interested in a quick sell. Hoping to BRRRR this one.

How did you add value to the deal?

I found a local who would build new cabinet doors for the existing Kitchen cabinets for about $30 per door. I added a new garage door, painted, and installed new flooring. I found a great tile guy who lives close by who did a great job installing tile in the bathroom and in the kitchen. I also found a great Sheetrock guy that I have already used again on two other houses.

What was the outcome?

About to put it on the market for $750 per month

Lessons learned? Challenges?

Biggest learning experience so far is that I AM NOT A PAINTER! I thought the wife and I would do the painting because this one is fairly close to our home. I would have had it rented quicker if I had just paid someone to do the painting. One month rent probably equaled the cost to paint!

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

Have been using United Abstract and Title in Jacksonville, Arkansas for my closings, and they provided me with the contract that I used to close this off market deal.