Investor · Ellwood City, PA · Member since 2019 · 93 posts · 124 votes
Investment Info:
Single-family residence buy & hold investment.
Purchase price: $26,500
Acquired as a long term rental with funding provided by a private lender through our Private Lending program.
What made you interested in investing in this type of deal?
Cashflow, equity, depreciation.
How did you find this deal and how did you negotiate it?
We bought this one as part of a portfolio of 8 homes from another investor.
How did you finance this deal?
Funded by a private lender through our program
How did you add value to the deal?
Purchase discount and renovation
What was the outcome?
We've had a long-term tenant in the home since rehab was finished. The houses cashflows about $115/month net, and we have zero dollars left in the deal. I believe we even took cash out at the point of acquisition.
Lessons learned? Challenges?
This house was a decent purchase, but some of the others in the small portfolio we acquired turned out to be more problematic. Lessons? You have to take the rough with the smooth sometimes.
That's a pretty low purchase price, was that the cash invested or the price of the property?
That was the price... I believe it was listed for $30k initially. At the time, my partner in PA and I were going 'MLS fishing' once a month. We'd look for older listings that fit our buy box, and make crazy low offers to see what came back.