#13 rental is finally here

[George P.]

This was supposed to be #14, but we had appraisal issues with the one that we lost about a month ago, so this one is the new #13.

as (almost) always, we used the seller agent that turns out is very good and we will use him in the future for short sale aquisitions and such. 

we gave them the full asking price because this was a short sale with a private investor holding a note for 64k (or something like that).

the whole process took about 2.5 months from making the offer. we are getting a mortgage for 30 yrs at 4.49%

needs minimal work, making it look great will be around 5k, but i always over update. that relieves stress when it's occupied.

House details:
3 bed/ 2 bath - ~1085 sq feet
full basement
2 car garage
sprinkler system (will be capped off)
very desirable area with well kept homes

numbers:
purchase - 81.5k

taxes - ~2,500 per year = ~208/month
insurance - $550 per year = $45/month
mortgage payment - $309
rent - $>= 1,100

without taking any other expenses, gross cashflow is around ~$538. we manage ourselves, but pay $1,000 to list it on the MLS.

[George P.]

Originally posted by @Mike H.:

So how much did you have to put down on this deal? Not sure I followed the part about the private lender. Did they do seller financing to you or just to the previous owner?

Either way, that looks like pretty good cash flow on a nice unit. And little to no rehab is fantastic. You can't find anything new to go over your budget if you have no budget/work to begin with. :-)

But are you saying you're paying 1k to list the houses for rent? Have you tried non-MLS listing services and just not had any success? And if you list on MLS then don't you have to pay a realtor fee to the realtor if they bring you the renter?

 the private lender was some tidbit of info on the short sale deal and that more than 1 lender was invvolved. they had to find him/her, etc, etc. but that's all done, so that's in the past.

tried the non MLS sites and we struggled every time. the MLS tenants are 15x better, they make much more money. so we sleep at night better. the agent stages the house, shows it, i just pay $1k. i love it.

i closed at around 11am, the painter is there right now painting. my hvac guy is coming tonight.

put down 25%, like all conventional mortgages, was around 22.5k with all fees and such.