Primary Residence Turned Rental Property

[Ann Seffens]

Investment Info:

Single-family residence buy & hold investment in Concord.

Purchase price: $219,500
Cash invested: $75,000

Ranch-style SFR, 3 bd, 2 ba, semi-open concept for a 1955 built home. 1796 sqft on 0.25 acre lot. 2-car garage was converted into what could be used as a bedroom because it does have closets, but it also houses the furnace and water heater. 1-car garage was added on. Has 2 small decks out back - 1 from the living room, 1 from the master bedroom. I have remodeled both bathrooms and did a small kitchen remodel (reface & new floor). Beyond that it's just been general maintenance and 'lipstick & mascara' (new paint & carpet periodically).

I did have 1 long term tenant that did not treat the house very nicely, so there was a bit of cleanup after they vacated, but beyond that, I think my screening process has provided with, if not totally stellar, at least decent tenants over the last 20 or so years.

How did you add value to the deal?

I have remodeled both bathrooms and did small remodel on the kitchen - cabinet refacing and slate tile floor.

Lessons learned? Challenges?

1. Screen tenants well. Make sure they have plenty of income - I require 3xs the rent. Check references.
2. Inspect regularly.