My first deals, 3 years in.
This is my third year being an investor. My 1st deal was a house hacked, duplex in a 1st ring western suburb of Minneapolis, 3.5 percent down(9030 down). List for 205,000, it ended up in multiples offers and I got it at 258,000. I doubled the square feet and added a bedroom by finishing the basement. I did all the work myself and ended up spending 21000 on total improvements. I have not had to do any advertise to get the place rented, a solid location. Valued at $380,000 now, pulled my equity and bought another.
Price: $258,000
Down: $9030
Wrapped Closing: $3000 closing/bank paid the other half
renovations: $21000
Rents: $3,200
Payment:$1730
------------------------------------------------------------------------------------------------------------
Deal 2# Student house
5 bed 2 bath home built in 2006 in great shape. It is next to the state college in city center.
I used my equity of the 1st deal to purchase the property.
Valued at $315,000
Price:$289,000
Closing: covered buy seller
Payment:$ 1705
Rent: $2895/579 a kid
No renovation needed, no repair needed and no foreseeable ATM. It is newer than all the other houses in the area. I am a little low on rent because I rented it in the off season for school semesters. I feel like this area will pop as far as desirable place to live, close to downtown and a nice area...one of the last affordable safe neighborhoods.
This is my most time consuming property as far as getting tenants=students are a frustrating group.? How do you stream line this process? How do you do leases?
------------------------------------------------------------------------------------------------------------------
Number 3# 1970 duplex bought is a 1st time home buyers 1st ring suburb. Prices have been in a steep climb. Added a 3rd bedroom to each side for 7,000. 11 year tenant rent is $1350, she maintains it like her home. I live in the other side till I find my next deal. Market rent is 1600.
Value at $348,000
Price: $268,000
Down:$13500
market Rent: $3200
__________________________________________________________________________________________
What are your thoughts? Suggestions? How well did I do? What could I do better? How do I protect myself during a downturn in the economy? These deals were hard to find and it seems the market is even more dry. I am looking for my next deal, the next stage?