Primary Residence to BRRRR

[Jacob Trogan]

Investment Info:

Single-family residence buy & hold investment in Parkville.

Purchase price: $130,000

Primary residence bought with immediate equity due to needing a host of repairs, smelling bad, and the cosmetics being out of date.

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

When I move out I plan to cashflow only $150 a month which would be the cashflow after hiring out a management company and after paying for repairs and Capex. So most likely it would cashflow more if I take on the management myself, either way the cashflow was not the reason I purchased this property even though I will come out net positive every month, but rather the equity to be had that I can pull out later and use for the next property.

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

MLS

How did you finance this deal?

Appraised high so I was able to negotiate purchasing the property for less than 5k out of pocket. I wanted to keep the cash on hand because I had a lot of repairs to be made

How did you add value to the deal?

Fixing up floor and a new paint job, redoing the kitchen and bathroom which were very ugly and getting rid of the smell... "SMELLS LIKE MONEY". More updates to come...

What was the outcome?

TBD

Lessons learned? Challenges?

I have learned so much from jumping in, it really is possible and although this property will not change my life it is a stepping stone to the next property. Set yourself up right in the beginning. Leverage up but not too much to where you hurt yourself.

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

I worked with a newer agent that was working under an agent I found here on BP. I highly recommend her reach out to me for her number