First Real-estate Purchase

[Brooks Becker]

Investment Info:

Single-family residence other investment.

This was the first real-estate purchase of mine. I bought it, lived in it, and fixed it up then turned it into a rental when I moved across the country! Like many of the Bigger Pockets members will attest to the first deal is rich in lessons learned! In this deal, I made money but more importantly learned lessons that only come after your first purchase.

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

My budget was tight but I did a rent vs. own analysis and decided to take the plunge and purchase what I could afford.

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

I found this deal on the MLS and negotiated the price based on the inspection results!

How did you finance this deal?

I worked with a mortgage broker and got conventional financing.

How did you add value to the deal?

I remodeled the unfinished areas of the house and improved the landscape.

What was the outcome?

I received cash flow and increased my equity while I was renting it. I made a few thousand dollars when I sold it, but more importantly, I saw the benefit of owning real-estate!