First BRRRR Completed!
Hi all,
I have finally completed my first Real Estate deal. I had been saving up and looking for a deal for the past year or so, and this one just kind've fell in my lap as it's two doors down from where I currently live.
Let's get right into it. Purchase Price was $68,000
Specs: 2bd, 1ba, 864 sq. Ranch, basement/garage, large back yard.
Down Payment: 13,600
Closing Costs: 2,700
Rehab Costs: 26,000
Holding Costs: 4,800
Luckily, my aunt lived next door and closed on the sale of her house at 118,000 a few days after I closed on this property, so that was the estimated ARV.
My lender allows for a refinance after 6 months of ownership, and I've had it for 7.
The appraisal just came in two days ago, and it appraised at $118,500
I will end up getting $38,000 back from my cash-out refi after all lender fees, and cash flow $250/mo on a completely renovated home with (hopefully) little maintenance. Without counting holding costs, I've got $4,300 of my own cash left in the deal, with $23,700 in equity currently in the deal after the refi.
I'm happy, but never content. First deal definitely isn't a homerun, but singles will do for now. Onto the next one!
Photos in the comments if I figure out how to insert them.