House Hacking - 1st Home Conroe, TX

[Aaron Stoddard]

Investment Info:

Small multi-family (2-4 units) buy & hold investment.

Purchase price: $163,000
Cash invested: $15,000

House hacking this home, has two apartments built into the back of the house. Finishing one into a studio and converting the other into a 2b 1b. Family is living there with me paying toward expenses, no profit made. We will then save cash for the next home and this property will be rented out to three contracts.

Long term hold strategy, I doubt it'll appreciate much but when it is fully rented it should cash flow around $500-700.

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

Family situation, taking on caretaking for two of my disabled brothers and my parents are moving into the studio to help as well.

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

Asking price was 165,000. Found through Becky Ortiz, a excellent local realtor. Negotiated down to 163,000 plus seller concession of $4000 and a new gas line for the furnace.

How did you finance this deal?

USDA first time homebuyer

How did you add value to the deal?

Working on finishing the Studio apartment and converting the 1b apartment into a 2b.

What was the outcome?

We will see! In the process of remodel now.

Lessons learned? Challenges?

Found termites. Paid to have a long term killing agent drilled into the slab and soil. Working on structural repairs (luckily not bad at all, small wall sections on each corner with bad baseplate. Ceiling has not dropped, will repair from inside the house (brick home).

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

Becky Ortiz Realtor

And

Roman Washington Mortgage agent