Our first real estate deal

[Timothy Summers]

Investment Info:

Single-family residence buy & hold investment.

Purchase price: $99,000
Cash invested: $15,000

3br 1ba we converted into a 5br 2ba and we rent it to contract employees in the area for work.

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

Extremely high rents in the area made this investment a can't miss.

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

Found this on the MLS it had been posted for less than 24 hours and we made an offer over asking.

How did you finance this deal?

Purchased the home cash, renovated it with cash, then did a cash out refinance. (BRRRR)

How did you add value to the deal?

We made 2 extra bedrooms out of an enclosed porch/ garage and added a bathroom.

What was the outcome?

Listed it for 1 week and have it rented now @$2500/mo

Lessons learned? Challenges?

We probably over renovated, learned that later. Challenge was doing the renovations ourselves while having full time jobs. Holding cost was the reason we bought the property with cash to avoid the expense while we were renovating.