Virginia Ave as my first investment

[Joseph Miller-Hall]

Investment Info:

Single-family residence buy & hold investment in Florence.

Purchase price: $25,000
Cash invested: $5,000

Located in a C-D Class neighborhood, this was my first purchase as an investor. I wanted something small and easy to learn and develop myself as an investor. I was fortunate enough that this location is near the new hospital/ rotary/ and some new development.

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

Low initial investment needed. Great starter house for REI.

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

MLS, very rookie negotiating. Paid asking price and all.

How did you finance this deal?

Hustled and saved up $5k.

How did you add value to the deal?

Another rookie mistake. I did not add value.

What was the outcome?

So far has had 2 evictions (learning curves), but does very well as a cash-cow. Very nice cashflow for the initial investment. Learned a lot of lessons from this house.

Lessons learned? Challenges?

Distance needed between investor and rentee/ different property managers and differences in that arena/ eviction processes/ how badly a renter can trash a house.