Investment Info:
Single-family residence buy & hold investment.
We inherited this home, it was my husband's childhood home, but abandoned for a few years, and by the time we got it was a hoarder house. We had to gut the entire house and remodeled it ourselves. Took about 5 years, as we were also living in it, had kids, and life happened, but we did it! We moved to Utah in May of this year, 2020, and have now rented it to awesome long term tenants.
What made you interested in investing in this type of deal?
Necessity... we lived there! We didn't have a mortgage or anything owed besides past due property taxes, but we quickly paid those off and used every single cent we could to tear out and update the house.
How did you find this deal and how did you negotiate it?
We inherited the home from husband's parents
How did you finance this deal?
Cash. We had to pay to get the deed transferred and had to pay past-due property taxes, but everything was paid in cash.
How did you add value to the deal?
We had to strip the entire house and replace EVERYTHING. Flooring, walls, windows, kitchen, bathrooms, siding, roof, and everything else. We did it all by ourselves, so added a LOT of sweat equity to the home.
What was the outcome?
We have since moved out and are now renting it to long term tenants (5+ years!) and they are loving the home (everything is NEW, so of course they love it) and we are planning on getting the home appraised and taking out a HELOC in the future so we can invest in more homes to fix up and rent.
Lessons learned? Challenges?
So many challenges, but we learned how to do EVERYTHING regarding renovations and DIYing. I'm awesome at tiling, painting, and assembling IKEA cabinets, too!
