Off market Second buy and hold Dallas, Texas

[Robert Marshall Serrato]

Investment Info:

Single-family residence buy & hold investment.

Purchase price: $70,000
Cash invested: $38,000

Off market single family home in the City of Dallas, Texas.

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

We felt we could turn this deal quickly be renovating it quick and renting it out.

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

Off market negotiated a purchase price of $70,000

How did you finance this deal?

Hard Money Lender, Wildcat Lending HML

How did you add value to the deal?

We opened up the kitchen for a bigger feel. We renovated the exterior and interior of the home with just under $40,000 added an HVAC unit, fresh paint inside, resurfaced the wood floors, new tile for the kitchen and bathroom. Added new windows and new front fence.

What was the outcome?

Purchase price $70,000 rehab $38,000 After Repair Value, $170,000 we were able to rent this home out within two months of purchasing/renovating the home. We did a cash out refinance and got back about $18,000 at closing. This home also cash flows north of $500 a month. We manage our rentals and take pride in them. Doing your diligence in finding tenants is key, doing back ground, credit checks etc. Brandon Turney has a great book on BP on this topic.

Lessons learned? Challenges?

This was our second deal and was more streamlined then the first. By turning the property quickly we were able to rent the property and use the rent money to cover the holding cost/HML until we refinanced out of the Hard Money Loan.

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

Wildcat Lending, HML