Single Family Home Investment

[Anthony Peters]

Investment Info:

Single-family residence buy & hold investment in Ontario.

Purchase price: $425,000
Cash invested: $65,000

Single Family House with 4 Bedroom and Three Full Bathrooms

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

The rental market in the area were pretty good. Close to couple of universities and able to rent to college students

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

Used a local real estate agent to find the property

How did you finance this deal?

Yes, used traditional loan finance

How did you add value to the deal?

Purchased new appliances for the home in order to be able to increase the rental amount

What was the outcome?

Was able to increase the rent by about 12% after adding brand new appliances

Lessons learned? Challenges?

The first two years managed the property myself but I lived 400 miles from the property. Was quite difficult to manage. This year I gave the property to a Property Management company to manage. They charge me 7% of the monthly rental amount. Although I lost 7% of my monthly income but I have less headache managing the property