I took a small private loan and bought my first home.

My first house had a tenant in it when I bought the house and they just up and left and left the house in rough shape.

If you are trying to buy a $ 1 million home, and they bought it 20 years ago for $250,000, it’s likely they have a whole lot more wiggle room – and less price sensitivity – than someone who paid $1.2 million for it last year.

Note, I am not looking for a syndicate to BRRR or rent of some sort.Experience: I have personally bought an old home on a 8,000 sq ft lot, rezoned it to two 4,000 sq ft lots with a family member.

If they are willing to become the developer and do want to move back after rebuilding, they can sell the property that they bought to live in temporarily for 3 to 5 years and most likely it went up in value and helps offset the new build costs of their current lot.

We bought our first rental property in Columbus, OH at the end of 2023 and are now looking to purchase our next property.

Bought house in 2020, so instant cash flow given the low rate and price.

Seller is the Agent.Seller bought property in January of 2023 for $730,000Current “As Is” Value : $770,000Target Acquisition Price: $730,000-$780,000 After Repaired Value: $900,000Repair Estimate: $120,000Initial Offer Amount: $715,000Loan Program: Bank Statement Program.Total Estimated Monthly Payments (Principal, Interest, Taxes, and Insurance) $5500/month (based on $770k purchase price)Estimated Gross Yearly Income from Short Term Rental: $160,000 (65% Occupancy, $700 a night| (STR Listing Comparable properties Listing 1 Listing 2 Listing 3)Net Monthly Income after management and taxes: $11,751.25Net Monthly Income after Mortgage Payments: $6251.25 ($75,015) Per YearTotal Cash Investment: $297,000 ($177,000 in down payment and closing costs and $120,000 in repairs)Average Yearly Return on Investment: 25% yearlyAverage increase in property value per year: 5%Average increase in booking revenue per year 7.5%Property Value average after 10 years: $1.5 millionTotal Cash received over 10 years: $1.3 million.Total Equity multiple min over 10 years: 6x total return on $297,000 invested.

Over the summer my wife and I bought our first condo with the idea of renting it out later on down the road and kicking off our investment journey.

Another property assessment included another home that had been demoed/removed before we bought the property.