First home in Fayetteville, NC summer 2020

8 Replies

Investment Info:

Single-family residence buy & hold investment in Fayetteville.

Purchase price: $83,000
Cash invested: $7,000

This is our first home. We've stated the remodeling and it still will take some time to get it completed. Plan is to get it ready within one year then put renters in and buy a new home as a primary residence.

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

I'm a real estate agent and it was no brainer that in stead of just loosing it it make more sense to use our savings and tax returns to get our own home. save in rent minimum 200$ a month, make it nice, rehabbing it a little and then get a new home within a year or so.

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

I'm a local agent and the most important thing for us was the proximity to the Cape Fear Medical Center. First is close for my wife, she's a nurse there, second our target is to rent to nursing staff, interns and medical personnel when we put this home for rent. I've checked the comps, I did a CMA and over all with a little bit of work It looked like a great deal.

How did you finance this deal?

We've got our savings, the tax returns and my buyers agency's commission for closing for a FHA loan with 3.75 down.

How did you add value to the deal?

We've painted the house just a week before moving in in July 2020. In November 2020 we replaced the carpet from Living, hallway and kitchen with LVP and we are planning to finish flooring by end of January or February.

What was the outcome?

Still work in progress, the plan is to get funds to update this home with new doors, little bit in bathrooms, the deck. refinance, take equity out for new home, rent the property and repeat.

Lessons learned? Challenges?

It's emotional and physical exhausting. Do it yourself when the funds are limited. Looking to learn more how to leverage the funds and rehabbing work load.

Did you work with any real estate professionals (agents, lenders, etc.) that you'd recommend to others?

I had so far good relationships and experience working with Joseph Spell fro. Cornerstone Home Lending. I've got reffered there from my colleagues from Keller Williams Fayetteville, NC and so far I'm happy with his help and guidance throughout the process.

Definitely, thank you for your message.  After hiding beside computer for about 8 months,  ive learned that I need some helpnto boost my real estate business.  So I'm driving Lyft, growing my data base, learning from biggerpockets podcasts and connecting with local investors, wholesaler, contractors and lenders in order to build a strategy of getting a steady flow of income from cash flow.  Finding mentors at my local KW office maybe wa the best thing I started with. So my next target is to participate in several brrrr projects,  helping other investors and use all the knowledge and cash to leverage in my own rehab and get three rentals single family residence in 2021. Proximity to the biggest military base in nation Fort Bragg is another reason why I believe that it will work out long term. looking forward to get in touch with you. Regards. Ion

I know many military families move in and out of Ft. Bragg youll always have renters but be mindful just because they’re Army doesn’t make them good renters just be mindful with your screening process.

Right now the inventory is so low both homes for sale and rentals, that ut make lot of sense of diving in. I know someone who started doing flipping and once houses hit the market and get listed they are gone in the matter of hours. Although we're military city more or less my target for rent tenants are medical staff working in Cape Fear Medical Center next to my home. thank you for your message. 

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