Darby Rental Package Deal

[Dan Powers]

Investment Info:

Single-family residence buy & hold investment in Darby.

Purchase price: $80,000
Cash invested: $20,000

This property is part of the other Darby Terrace property package, with identical numbers to the other property my investor was very keen on picking this one up as well. With very little work needed, and market rent hitting $1500, Darby is a very underrated area for high cash-flowing rentals.

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

What made my interested in this deal was simply the numbers, he is an out-of-state investor, and will be using a property manager to manage this property. With cash flow almost touching $1000/month, he was very keen on giving himself a $12k raise each year as to when he refi's after doing some light cosmetic work he will be able to pull out most of his money.

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

This deal was sourced through New Western Acquisitions and was sold on a first come first serve basis.

How did you finance this deal?

This deal was financed with Sherman Bridge Lending, they were able to give me investor 90% coverage in the purchase and 100% on the rehab.

How did you add value to the deal?

Value is going to be added to this deal by doing cosmetic updates throughout the house. Kitchen, bath, paint, carpet.

What was the outcome?

The outcome is going to be a great cash-flowing deal and my investor is planning a few more in that area.

Lessons learned? Challenges?

This deal like the other one was a very easy transaction, my investor was quite on top of everything on his end and got everything submitted for the loan in only a few days.

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

Dan Powers - New Western Acquisitions