Got my first rental
congratulations! That is SUPER exciting! We bought our first rental 3 years ago and caught the bug :)
Hit wrong button
Anyway, got my first rental off and running. Bought a small 3/1 for 55k in mid October in Richmond Va. Place is in great condition. I started marketing for renters a week before closing. I quickly learned it's best to be as frictionless as possible when looking for renters. I made the process too difficult at first and probably scared away a few reasonable tenants. I also learned that people respond much more quickly to text message as opposed to email and phone. However, I still had a few applicants pull no-shows, and I live an hour from the house. Looking forward to writing off all those trips.
I used rocket lease for application screening. I liked the simplicity of it. I use spark rent for monthly rent. I started at $875/m which turned out to be a bit high. I dropped to 825 and got lots of responses. There was a random week where nothing came in, still not sure why. I finally rented it 10 days after closing for 815/m to a quality tenant. They passed all the background checks, income verifications and I just got a good gut feeling about them.
Big thanks to @Brian Rhodes for his quality counsel. Your carpet guy was awesome by the way.
Now that I have this deal under my belt my next goal is to purchase another rental without using MLS, because thats just too time consuming. And to do it without using my own funds for down payment. At least not 20%.
That's a great rate for a property of the price, well done.
Awesome and Congrats!
Good job Adam:) If you don't mind me asking who did you get your financing from? terms?
We went with a conventional loan from a local broker, 20% down at 4.25. I wanted a 30yr, in order to maximize cash flow but because the price was so low the loan officer assumed I wanted 15. I didn't catch this until the day of closing, by then too late. It cost me a little less than $100 a month in cash flow. I was fuming. It was my fault though for not checking his work.
Looking forward one day soon to post my first investment purchase...
@Adam Stanton great job.
Great job @Adam Stanton ! Many newbie investors come and go and state they are going to do this and do that. You figured out what you wanted and took action. I know you worked hard to find that deal and to develop a system to find a tenant and you got it rented. Most people don't have your perseverance and therefore never get what they want. Keep it up and you will achieve your goals! I am glad the carpet guy worked out. Keep in touch and keep up the great work!
Congrats Adam! You are off to a great start.
Free eBook from BiggerPockets!
Join BiggerPockets and get The Ultimate Beginner's Guide to Real Estate Investing for FREE - read by more than 100,000 people - AND get exclusive real estate investing tips, tricks and techniques delivered straight to your inbox twice weekly!
- Actionable advice for getting started,
- Discover the 10 Most Lucrative Real Estate Niches,
- Learn how to get started with or without money,
- Explore Real-Life Strategies for Building Wealth,
- And a LOT more.
Sign up below to download the eBook for FREE today!
We hate spam just as much as you
Create Lasting Wealth Through Real Estate
Join the millions of people achieving financial freedom through the power of real estate investing