My First Rental Property

[Michael Newman]

Investment Info:

Single-family residence buy & hold investment.

Purchase price: $125,000
Cash invested: $15,000

Single Family Home in Kilgore, TX

Purchase price: $125,000
Cash invested: $15,000
Monthly cashflow: $529

First House turned into a Rental Property

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

Cash flow

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

Originally purchased the property as our primary residence. It was listed for $145K, and I offered $120K, The seller countered with $125K and we took it provided that the owner left the two safes and a portable generator.

How did you finance this deal?

Conventional 30-yr with 3.5% down

How did you add value to the deal?

Updated the interion by removing wood panels and dirty carpet.
Installed laminate flooring.
Repainted the interior completely.
Minor landscaping

What was the outcome?

Rented with the tenants planning to purchase in the last half of 2023.

Lessons learned? Challenges?

Dont try to do everything yourself even if you are very handy. Outsource the work and value my time more.

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

My wife is my agent and is currently with East Texas Preferred Properties. The broker she works for has always been very helpful.

[Zach Edelman]

Seems like a solid deal. Good stuff dude.