2nd Room-Room Investment Property

[Connor Mather]

Investment Info:

Townhouse buy & hold investment.

Purchase price: $238,000
Cash invested: $16,000

I use the same strategy that I did in my first townhome property and rent out rooms to maximize returns.

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

I realized I could add value by renting out rooms instead of leasing as a SFH

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

MLS and my realtor helped negotiate

How did you finance this deal?

Conventional financing

How did you add value to the deal?

Rented out rooms

What was the outcome?

Property is cash flowing as I expected. Values in the area continue to rise.

Lessons learned? Challenges?

Parking is extremely important when renting by the room in an HOA community. Also insurance becomes more complicated so make sure you are speaking to an agent who understand who you are trying to do and how to provide you with the right coverage.

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

Credit unions are the best to work with for unique lending situations. I would recommend John Mocker when attempting to insure your property.