Updated 3 days ago on .
From Primary Residence to Long-Term Rental
Investment Info:
Single-family residence buy & hold investment in Holland.
Purchase price: $69,000
This house was our first property we lived in for over 15 years. When we moved for the military and became long-distance investors, we rented the house out and use a property manager to take care of the property. 2/1, in good shape, B/C class neighborhood. Overtime, we did small renovations ourselves. This property really was a learning experience!
What made you interested in investing in this type of deal?
We lived in the house and paid it off. We were moving for the military and having the decision to sell or rent, we went with the later to bring in additional income.
How did you find this deal and how did you negotiate it?
This was our previous primary home.
How did you finance this deal?
Paid house off over the course of 15 years using our personal income.
How did you add value to the deal?
Small upgrades to the property, sweat equity.
What was the outcome?
N/A
Lessons learned? Challenges?
Lesson Learned: Get with city to find out what standards the property has to meet to be a rental. We were a month out from PCS'ing to our next location and found at the we can't just rent and needed to have work done to bring it up to rental standards. Not the end of the world but moving is already stressful and that just made it even more so.
Also, put everything you want the tenant to do in the lease. First tenants didn't take care of the lawn and it became overgrown and weeds tore our patio.
Did you work with any real estate professionals (agents, lenders, etc.) that you'd recommend to others?
Property Manager: Kepple Realty - so far, very responsive. Because of their background checks, we've only had two tenants over 4 years!
