Townhouse rental purchased in 2011

[Deidra Swenson]

Investment Info:

Townhouse buy & hold investment.

Purchase price: $100,000
Cash invested: $15,000

Very low maintenance rental which has stayed rented the whole time we've owned it. The value has more than doubled and we've been able to do a cash out refi to help purchase other investments.

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

We were able to purchase this property in 2011 as a primary residence. We lived in it for 2 years. Our purpose when we bought this was to hold on to it as a long term rental property. We got into it at a great time for a very low price. The property has been cashflowing the whole time we've been renting it.

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

Listed on the MLS.

How did you finance this deal?

Conventional loan

How did you add value to the deal?

We immediately did a cosmetic rehab on the property and over the years have made cosmetic improvements. Stainless steel appliances, granite countertops, and LVP have helped attract great tenants all which have stayed multiple years.

What was the outcome?

We continue to hold this as a rental even though we're moving away from single family. It's a low maintenance property to manage and we've pulled out all of our money and then some by doing a cash out refi.

Lessons learned? Challenges?

In 2011 we wished we had scooped up way more properties like this! Back then we were just getting started and didn't realize the potential something like this had.