First Investment Property

[Dustin Braddock]

Investment Info:

Single-family residence buy & hold investment in Dearborn Heights.

Purchase price: $50,000
Cash invested: $5,000
Sale price: $92,000

2 bed, 1 bath, 740 sqft bungalow with 2 car garage on a double lot. Rented it for $925/month and never missed a month it not being rented. The only time it wasn't rented was from the beginning of the process to the time we got the C of O.

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

I've always been interested in real estate and I finally had a chance to buy my first SFR and I jumped on.

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

It was a family members home that new I was looking to invest in real estate and made me an offer.

How did you finance this deal?

HELOC

How did you add value to the deal?

I removed all the carpet, refinished the hardwood floors and installed peel and stick tile in the kitchen. Also, painted and installed wood looking paneling in the closets.

What was the outcome?

Sold the property for a gross profit of $37,000.00. I was the listing agent sold I saved on the commission and also found some clients to work with and help.

Lessons learned? Challenges?

Working with the bank was the most difficult and time consuming part of the deal. This was a special case which help in learning the process banks go through and the time it takes. Also, knowing how much it will cost for repairs and the time it actually takes to make repairs. I did all the repairs myself with some help from my dad. That was the best part about it all. We made it a family event sometimes so we could all be together while mom and dad fix the rental.

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

I am a realtor, so I would recommend me. :-)