The Birthday House | My First BRRRR

[Dustin Sanchez]

Investment Info:

Single-family residence buy & hold investment in Spring.

Purchase price: $75,000
Cash invested: $6,860

My first BRRRR property. Bought this on my 43rd birthday.
$121,816.50 Purchase Price + Rehab
$114,955.58 cash back after refinance
$6,860.92 left in the deal
$322.05/Mo Cash Flow
56% ROI

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

Wanted to start off small, limit my downside.

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

My parents owned this house. They wanted to get out of the landlord business.
It needed a TON of work so just told them to name their price and gave them cash.

How did you finance this deal?

Used my savings.

How did you add value to the deal?

Asked the problem tenants to leave.
New AC
New Ductwork
New Roof
New Fence
New Water Heater
New Kitchen
New Bathrooms
New Floors
Paint Inside & Out
New Landscaping
Lots o sheetrock
Most of the house was taken down to the studs.
I'm calling it a completely new house with some great tenants in place.

What was the outcome?

Great first rental property experience.

Lessons learned? Challenges?

Neighbors don't like it when you give them a brand new fence.