FIRST RENTAL PROPERTY OWNED!

[James Leach]

Investment Info:

Single-family residence buy & hold investment.

Purchase price: $275,000
Cash invested: $5,000

4 BD, 2.5 BA 2704 sqft SFH currently rented out as of 5/2017.

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

I lived in the house ,raised 3 great children and initially didn't want to sell the house my children grew up in.

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

First, I owned it and lived in it for 10 years. Then, I decided to rent it out due to not wanting to sell. Now I look at it as an investment property and first of many as I educate myself to be financially free!

How did you finance this deal?

Fannie Mae loan

How did you add value to the deal?

Paint and landscape.

What was the outcome?

It has been a great initial rental with great tenants.

Lessons learned? Challenges?

I had no idea what I was doing. I rented it out using a Property Management company. This has been a great experience. However, I did not know, nor did I capture until recently, all the benefits of having a rental property. For 3 years I've not had a market increase for rents and probably lost a good amount of money. However, the same tenants are in place and have been good to the property.

I now know and am utilizing the benefits of having a rental and look forward to investing more.