$100k on the first deal at age 21....Thanks biggerpockets
My name is Jarrett Winston and this is a quick overview of how Biggerpockets helped me land 100k in equity on my first deal at age 21.
March 2016: I had just started my first deployment and one day, while on Facebook, I came across Biggerpockets and decided to follow them and didn't think anything special about it. Then, as the articles started posting I was reading every single one. Plus, I started reading the website and then I discovered the podcasts. I was hooked. By the time I left after 6.5 months, I had listened to 225+ podcasts, each one TWICE, and read all the big name books including, Rich Dad Poor Dad.
October 2016: When I got back to the states, I started studying my market and analyzing houses. It was a tough decision to commit to my local market with my duty station only having a population of 30,000 and being heavily dependent on the military. 99.99% was overpriced.
Within a couple months I had began to know every street in Alamogordo like the back of my hand and how to find anything on the county property accessor website. I looked at 600+ properties and was driving my wife crazy everyday going and driving around neighborhoods.....but I knew I could always bribe her with a Starbucks drink haha
April 2017: After going back and forth with the bank for months we finally found the winner. It was a foreclosure listed on the MLS for about 6 months.
4 bedrooms, 2 bath, 1700 sq ft. Built in 2005.
Originally listed at 169k with a price reduction to 139k
We ended up paying 104k after going back and forth with the bank for months.
ARV:210k
Purchase:104k with zero down with VA loan
Repairs: 8k (out of pocket cash) 95% work done by the wife and I. A lot of long nights.
Rental analysis: PITI=$667 Estimated rental rate=$1300mo
Important note: House was not up to VA standards for a loan so instead of going the conventional route and putting 20% down. I did the repairs to qualify for the loan before the VA appraisal/inspection (hot water heater, drywall fixes, chipping exterior paint etc.) Risky but worth it.
Future: I am currently deployed again but upon return I plan on getting a HELOC and looking to getting into a Fix n Flip.
Thanks to Biggerpockets for opening my eyes to my new passion. Now we see how far I can take it from here...The sky is the limit.