Single-family residence buy & hold investment in Chicago.
Purchase price: $54,900
Cash invested: $13,725
Sale price: $68,000
Our first investment was in a single family home in a working class neighborhood on Chicago's south side. This SFR was bank owned at the time of our purchase. We had 2 different renters during the time that we owned it. We ultimately sold the home when we moved from Chicago in 2018.
What made you interested in investing in this type of deal?
Just jumping in, house was inexpensive and in a good area.
How did you find this deal and how did you negotiate it?
We worked with a broker who helped us find it. There was limited negotiation as this property was bank owned. We were one of three offers for the house. Highest and best situation.
How did you finance this deal?
Conventional loan with 25% down.
How did you add value to the deal?
N/A it was mostly done.
What was the outcome?
We rented it to two different renters over the 5 years of ownership and sold at a slightly higher price than we bought it for.
Lessons learned? Challenges?
Make sure to not outbid yourself with these types of deals, especially in low appreciating markets.
@Ebe Chinweze congratulations on this investment!
@Ebe Chinweze Super exciting and is there plans for a next deal?
Free eBook from BiggerPockets!
Join BiggerPockets and get The Ultimate Beginner's Guide to Real Estate Investing for FREE - read by more than 100,000 people - AND get exclusive real estate investing tips, tricks and techniques delivered straight to your inbox twice weekly!
- Actionable advice for getting started,
- Discover the 10 Most Lucrative Real Estate Niches,
- Learn how to get started with or without money,
- Explore Real-Life Strategies for Building Wealth,
- And a LOT more.
Sign up below to download the eBook for FREE today!
We hate spam just as much as you