Accidental REI..... Before Bigger Pockets
Investment Info:
Single-family residence buy & hold investment.
Purchase price: $198,999
Cash invested: $12,000
This was my home that I lived in for 2 years then I moved out and decided to rent it rather than sell it... at the time all I looked at was does the rent cover mortgage and I am cash flow negative, but I didn't want to sell, and my intention wasn't to become an investor but it happened by accident. Theeeeeeeeeeeeeeeeen later on I found bigger pockets and now I am more knowledgeable.
What made you interested in investing in this type of deal?
This is when I became a REI by accident and I had no idea what I was doing.
How did you find this deal and how did you negotiate it?
I just drove by it once, they were building new homes... I was orginally looking for a place to rent but I saw it and decided to buy it.... The reason I didn't Sell is because if I hold it for 5 years I know it will appreciate in value more than the average because of the area.
How did you finance this deal?
Conventional Loan
How did you add value to the deal?
I added trees and grass to the back yard. I did some work in the front yard. The home was purchased brand new so it is in really good shape.
What was the outcome?
I have a 2 year lease that has 1 more year left.
Lessons learned? Challenges?
there are more expenses other than just covering mortgage.