Single-family residence buy & hold investment.
Purchase price: $125,000
Cash invested: $12,500
Owner carry, SFR rental.
What made you interested in investing in this type of deal?
Wanted rental property and offered out of state owner a "full price as is" offer if they would carry the note. This was after 2 deals had fallen through and had asked them to make repairs for FHA. Good timing and met great realtor in the process.
How did you find this deal and how did you negotiate it?
House next door. Sympathized with the realtor who was jumping through hoops to get it sold. She liked me so I wrote an offer with me terms. Owner more concerned with getting their asking than immediate cash or any interest.
How did you finance this deal?
Owner carry no interest.
How did you add value to the deal?
Full price offer.
What was the outcome?
Rent covers mortgage, insurance, taxes and management fee + about $200 profit pretty month.
Lessons learned? Challenges?
My first rental. Even with a property manager, nightmare first tenant. This new tenant is a dream.
Did you work with any real estate professionals (agents, lenders, etc.) that you'd recommend to others?
Agent - Katie Painter Keller Williams located in Wickenburg AZ
Don't know if you don't ask. Good job asking when no one else did!
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