First Investment Property (SFH) Rent by the Room
Investment Info:
Single-family residence buy & hold investment.
Purchase price: $185,000
Cash invested: $54,000
Purchased and closed on a new construction SFH near Pensacola, FL. Currently renting by the room to Flight students on the local bases.
What made you interested in investing in this type of deal?
The opportunity to increase the cash flow through renting by room.
How did you find this deal and how did you negotiate it?
I had a local realtor assist me in finding this deal as I am an out of state investor.
How did you finance this deal?
25% down conventional loan.
How did you add value to the deal?
New construction so nothing much to add.
What was the outcome?
Have 3 tenants, 1 paying $650 for the master with bath, 2 paying $600 each for the other two bedrooms with a shared bath.
Lessons learned? Challenges?
It took me a while, about 6 months to find my first deal after I set my intentions on investing in real estate. Utilized the time during the pandemic in educating myself so I had more confidence to take action and finally pull the trigger.
Did you work with any real estate professionals (agents, lenders, etc.) that you'd recommend to others?
I worked with an awesome local realtor who assisted me in finding this deal. She was able to provide not just photos but videos she took of properties we looked at. She gave me updates as needed and also provided point of contacts for other people in the area that might be of service.