Townhouse Buy and Hold

[Summer Cherry]

Investment Info:

Townhouse buy & hold investment.

Purchase price: $285,000
Cash invested: $76,000

2 bedroom 1 bath townhouse with two parking stalls near military bases.

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

It was easy to rent out and was turn-key.

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

Through my agent. I had no competition and purchased it off season.

How did you finance this deal?

20% DP conventional 30 yr. 4.625%.

How did you add value to the deal?

It generated $1850/mo from military tenants. It is in a highly sough-after area that was still affordable on Oahu.

What was the outcome?

I paid my mortgage down to $150k, renovations at $12k and will put it on the market this month. Sellers market heavy now in SFH with low inventory. List price will be $350k.

Lessons learned? Challenges?

I would avoid properties with HOA fees because it brings your profits down a lot. It can go up a lot within a short period of time.