Single-family residence other investment in Galena Park.
Purchase price: $54,000
Cash invested: $110,000
Completely updated from the foundation to the roof! Updated walls, paint, floors, bathroom and kitchen.
What made you interested in investing in this type of deal?
I wanted to buy this property because the numbers made sense and the rental numbers made sense.
How did you find this deal and how did you negotiate it?
I found it on MLS and negotiated the contract with the Sellers agent. I paid cash for the property as it wasnt in shape for a conventional loan.
How did you finance this deal?
I financed the deal with a line of credit for 110k.
How did you add value to the deal?
I added value to the deal just by completing the project. I made it perfect by redoing everything on the property.
What was the outcome?
The property is worth 185K and generates 1500 a month cash flow.
Lessons learned? Challenges?
Lessons learned, I don't know if I will do another duplex again and put in place an appliance repair contract as the area is very hard on washers and dryers.
Did you work with any real estate professionals (agents, lenders, etc.) that you'd recommend to others?
Yes, my wife, Dana Johnson. Jose Ortiz is with Regions bank and has been a great financing resource.
Congrats Jonathan! Looks like you generated over $130k in equity from $110k invested, plus you've got yourself a very nice cashflowing property.
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