DOLLIE CIRCLE, HOT SPRINGS, ARKANSAS

4 Replies

Investment Info:

Single-family residence buy & hold investment.

Purchase price: $50,000
Cash invested: $8,000

THIS IS A SIMPLE 3 BEDROOM, BATH & HALF HOUSE. IT IS IN ONE OF THE BEST SCHOOL DISTRICTS IN TOWN.

What made you interested in investing in this type of deal?

IT WAS MY FIRST RENTAL AND PURCHASED IT AND 2 OTHERS AT FORECLOSURE.

How did you find this deal and how did you negotiate it?

AGENT. THE BANK WAS ASKING 63K AT THE TIME. I OFFERED 50K AND WAITED MONTHS TO GET IT.

How did you finance this deal?

CONSTRUCTION LOAN WITH A 5 YEAR BALLOON NOTE.

How did you add value to the deal?

I HAVE TOUCHED EVERYTHING. NEW ROOF, NEW WATER HEATER, CARPET, OUTSIDE PAINT & INSIDE PAINT WHEN I FIRST PURCHASED IT. AFTER MY LAST TENANT MOVED OUT I PULLED OUT THE CARPET AND PUT IN GLUE DOWN LVT, NEW FORMICA KITCHEN COUNTER TOPS WITH A NEW BACK SPLASH. AFTER THAT WAS COMPLETED I NOW HAVE BEEN ABLE TO GET AN EXTRA $50/MONTH THAN BEFORE.

What was the outcome?

I HAVE HAD GREAT SUCCESS WITH THIS PROPERTY AND HOPE TO CONTINUE FOR YEARS TO COME.

Lessons learned? Challenges?

TO NOT RUN MY LLC LIKE A SIDE HOBBY. NOW THAT MY KIDS ARE OUT OF THE HOUSE I HAVE THE EXTRA TIME TO RUN IT CORRECTLY AND PLAN TO PICK UP MORE PROPERTIES SOON.

Jennifer, 

It rents for 850. and is in Lakeside School District.  When I first got it 7 years ago I was getting 700.  (it was a complete gut job).  Like I said earlier is that when my last tenant of 5 years moved out I put new flooring & worked on the kitchen.  Before completion I got a call from my very first renter and he was moving back in town.  He is now living in there.  

Are you active in the Hot Springs area?

Originally posted by @John Gardner :

Jennifer, 

It rents for 850. and is in Lakeside School District.  When I first got it 7 years ago I was getting 700.  (it was a complete gut job).  Like I said earlier is that when my last tenant of 5 years moved out I put new flooring & worked on the kitchen.  Before completion I got a call from my very first renter and he was moving back in town.  He is now living in there.  

Are you active in the Hot Springs area?

Yes. I have two SFH and a triplex on Lake Hamilton. Most units are 2 BD/2A and rent for $600 to $750 depending on the square footage.

You mentioned in your original post that you have invested 8K in the deal. Does that include all renovations? Do you do the work yourself? I wish my renovation costs were that low 😀

I made a mistake and corrected it when putting in my info on this house.  I put in 18k into the house.  I did everything to this house but the roof.  I have sold a property and have another rental that I need to put on my profile.  Just haven't yet.  (so sorry about my mistake..no things cost money, but I can save by doing it myself.)  I am a salesman at a local flooring company, so I'm able to get good pricing on stuff.

I'm interested in hearing about your triplex.  Both of my homes are single family and would love to get into a duplex or triplex.  How did you find your triplex?  My biggest question is loans.  That is where I want and need to learn more.

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