Nashville, TN 2/2.5 for $77.5k
Hello all.
I have not posted to the forum in years. I moved to Nashville, TN, one of the hottest markets I have ever seen, and have been renting for the past few years. I saved up for a down payment, and decided to buy a property to house-hack and, after 1-2 years, fully rent out as I move into the next property in the future.
There is not a lot of value below $100k in this market. I lost out of 5 properties due to other individuals paying much more than I valued the property. I found a property and am just posting the specifics on here mainly for myself.
Two story, two bedrooms, two one half bath townhouse with driveway, long lot, no HOA, vinyl siding, back yard deck, in Antioch, TN (off of Anderson Lane), about 15-20 minutes to the Downtown Nashville, TN area. Carpet needs to be cleaned, new flooring in the kitchen and downstairs area. Already has backsplash, tiled countertop, tile floors in bathrooms. I would be getting about $450 for renting the additional room, which means my costs per month will only be mortgage, taxes and insurance, which would be about $100.00 cost of living to me. We would split utility costs, and internet. I'm excited about this as this will allow me to add value to the property, and put more money away for the next property. This will work for me, as I am single and can get along with any person. This is not used to find a roommate!
I estimate ARV with other sales in the area as $105k after some improvements, and should be able to get around $1,100.00 per month. This is close to the 50% rule, and about 1.5%.
My goal is to do this every two years, while occasionally purchasing a stricktly investment property that is already rented or ready for rent at a discount. This will be house # 4, and I am doing pretty well with building equity on my rentals.
If you read this, I appreciate your time. I am looking forward to finding better deals nearby this area that will meet the numbers much better and bring better cashflow, but I'm also trying to have a mindset that the "hot" market will bring a better return over time than other not so hot markets where the numbers make more sense.
Thank you!
Matthew