All Forum Posts by: Stephanie Freed

Investment Info:

Single-family residence buy & hold investment in Lincoln.

Purchase price: $56,500
Cash invested: $57,222

Clean and cute 3 bedroom 1.5 bath 936 square foot single family home with nice finished basement and detached 2.5 car garage in nice neighborhood. New windows, carpet, paint and nice kitchen.

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

I have been looking for nice quality small homes to purchase for buy and hold to offer a quality home for rent to a family.

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

It was purchased and negotiated through a trusted local real estate agent that I have been working with since 2017.

How did you finance this deal?

Cash - as at this point in my life cash flow is my investment purpose.

How did you add value to the deal?

It was in nice condition at purchase with newer roof, gutters, and new windows in 2018.

What was the outcome?

I am pleased with the home and tenants that have been put in place.

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

Yes!

Investment Info:

Single-family residence buy & hold investment in Rockford.

Purchase price: $55,000
Cash invested: $59,106

Lovely 2 bedroom 2 bathroom SFR with over 1700 square feet of living space and 1 car attached garage in nice neighborhood on a beatutifully landscaped corner lot. Fresh and clean with large windows and great natural light with new carpet and paint, nice remodeled bathrooms, kitchen and finished basement with extra bedroom and bathroom. Nice fenced private back yard with large deck.

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

I have a great team in the local area that I trust and this property was in very nice condition and a good location.

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

It was through my local real estate agent that I have been working with since the end of 2017. It was a bank owned property.

How did you finance this deal?

Cash

How did you add value to the deal?

It was already in nice condition, I just took care of a few maintenance/repairs and purchased a refrigerator.

What was the outcome?

I am pleased with the property. It was purchased in November 2018 and after the COE I was able to travel to Rockford and view all our properties there.

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

Yes! I am very pleased with the team of people I have been blessed to put together in the local area.

Hi Margie Kohlhaas I have 9 SFR and just came across Stessa a few days ago. I entered all my property info and transactions for the year manually, as I too am uncomfortable with on line banking. So far I am loving it and the simplicity of use! No frustrating learning curve. Well maybe just a few minutes figuring out how to change from vacant to occupied. But once I got that figured out...smooth sailing! It is pretty darn awesome!!!

Hello Hai G

Yes I have a suggestion for an attorney in San Francisco: Greg de la Pena and/or Debra Holiday. Their firm does a fabulous job and I highly recommend them.  Tell them Stephanie Freed sent you.

Hi @Jaysen Medhurst thank you for your input. 

1.   I have 5 other properties I have purchased in the area over the last year.  4 of which are 3 & 1 but one of them is a 2 & 1 and I'm getting $900 on it. There are some areas of town you want to avoid, but if its in the right location there are 2 & 1 homes getting as much as $950 that are managed by my PM. 

2.  At this point in my life, I really want no debt and cash flow is my primary desire.  Trying to build up monthly income so my husband can retire.  This one is on the lower end of cash on cash return for me.   This is my guilty self talking now... I think it is such a cute style of home for the price...shame on me I'm being influenced by its cuteness!  I need to just let the numbers speak instead! 

3.  It's in pretty nice shape and with the exception of the in process refinish job on the floor in the livingroom, it has been well maintained and not much needed to get her ready to go.  And I have a great crew for repairs that are very reasonable.

4. The ARV is an educated guess, speaking with my local agent, and I have great faith in her. She owns 20 rental homes herself there and she has been right on, maybe a bit conservative on all her input in the past. So I feel very comfortable that she knows her stuff!

View report

*This link comes directly from our calculators, based on information input by the member who posted.

Hi @Mitch Messer.  Yes Just got back from my road trip about a week ago.  It was productive, but a little too hectic for my old bones these days lol.  I tried to cram too much into two weeks... checking out 13 cities.  It was a quick preview to decide where I wanted to do a deeper dive.  

I am interested in cash flow at this stage of the game, trying to replace my husbands income so he can retire.  He has taken good care of our family all these years (4 sons all grown and flown the coop now and I was blessed to be a stay at home mom for them).   He handles the stocks and I am handling the real estate investments. He is having some health issues so I am trying to relieve the stress of him being the provider. So, no pressure, I just have to get this right for his sake!  lol   I am grateful that a year and a half ago we sold our dream home that I had designed and was the general contractor to build and downsized into a rental that we had done a 1031 exchange 3 years prior in anticipation of being empty nesters, no longer needing the space and not being up for all the up keep any longer either.  Timing was perfect, as now I have the ability to invest in rental properties with the funds from my dream home... so It was a dream come true... in two ways!  Thank the good Lord!

So far in the last year I have purchased 5 rental homes, and am in negotioations on 3 more at the moment.  I live in California which as you can imagine the cash on cash returns I need are not in my local market.  So I have had to expand my scope and  I'm exploring other markets too.  So far they have worked out to be 12 to 15%  cash on cash return.  So I am grateful to have found Bigger Pockets to learn what to do... and what not to do from great information available here and access to other investment gurus that share their expertise and experience  for a better shot at success!   I'm hoping to purchase 15 to 20 more over the next year or so.    

I am hoping to get some recommendations for Property Managers and Real Estate Agents that are investors themselves in the below listed areas.   I am planning a road trip to preview rental markets in the following areas:

Montgomery Alabama

Birmingham, Alabama

Dayton, Ohio

Columbus, Ohio

Akron, Ohio

Cleveland, Ohio

Toledo, Ohio

South Bend, Indiana

I would greatly appreciate any suggestions and input from seasoned investors in these areas!  

I am hoping to get some recommendations for Property Managers and Real Estate Agents that are investors themselves in the below listed areas.   I am planning a road trip to preview rental markets in the following areas:

Montgomery Alabama

Birmingham, Alabama

Dayton, Ohio

Columbus, Ohio

Akron, Ohio

Cleveland, Ohio

Toledo, Ohio

South Bend, Indiana

I would greatly appreciate any suggestions and input from seasoned investors in these areas!  

I was hoping for some wise input to clarify for me... In my Cap Rate and Cash on Cash return calculations, I am assuming NOT to include the annual $ amount for Vacancy rate and Cap Ex (holdback if you will) in my annual operating expense figure.  Is this correct?  For budgeting purposes I have included 8% Vac rate and 10% Cap Ex but not sure it seems appropriate to use it as expense for the purpose of calculating these.