Updated about 3 years ago on . Most recent reply
1st Primary Turned Rental
Investment Info:
Single-family residence buy & hold investment.
Purchase price: $34,000
Cash invested: $7,000
Sale price: $50,000
Purchased as our primary, fixed it up with extra cash, turned into a rental for about 3 years then sold.
What made you interested in investing in this type of deal?
This property was very outdated and I was able to purchase it for an affordable price. It had great potential.
How did you find this deal and how did you negotiate it?
My wife's parents owned it.
How did you finance this deal?
Conventional financing through a local bank.
How did you add value to the deal?
Repaired termite damage, renovated the bathroom, installed carpet in the bedrooms, and installed a wood-burning stove.
What was the outcome?
It generated decent cashflow, about $400 per month until we sold it to purchase another primary residence, in the bay area of California.
Lessons learned? Challenges?
This was the property I cut my teeth on DIY renovation, I learned a great deal and was able to gain good experience in renovating houses.
- Jeff Langham
