Fredericksburg VA TH buy and hold

[Phillip Brown]

Investment Info:

Townhouse buy & hold investment.

Purchase price: $159,000
Cash invested: $11,000

Purchase Price: 159,000
Financing: 20% down Conventional
Closing cost: 4,000
Repairs/upgrades: 7000
Total Cash invested: 42,800
Mortgage/Taxes/Insurance: 780.00
HOA: 70
Rent: 1,500 3 year lease
Cap exp: 5% (75)
Maint: 5% (75)
Cash flow: $528.00
Cash on Cash: 15%

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

unusual to find a town house at that low of a price in the area that we wanted to have an investment property.

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

Through some contacts at a senior care facility, the seller wanted to move in to the facility but needed to sell quick for that to happen.

How did you finance this deal?

20% down conventional loan

What was the outcome?

bought in October 2019, rehab took 6 weeks, renter moved in Dec 2019, signed a 3 year lease.

Lessons learned? Challenges?

Contractors were unreliable, it was outside the area that my go to guys service and I had a few bad experiences with the contractors I started with.

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

My wife and I run a team in Northern Virginia, so I recommend us!