First sub 30k property
Finally closed on my first sub $30k property. This is my first investment since joining BP and 2nd overall. Some quick numbers:
Purchase price $19k
Monthly rent: $715
Cash flow: $330
@Travis Beehler
I was inspired by @Travis Beehler post on his 7th rental in May 2016 and that motivated me to look into sub 30k property in St Louis, MO. He helped me a lot getting started on this journey and now with one already closed and 2nd closing in 2 weeks, I have started my journey into passive income and hopefully retire in early. I plan to scale it up to 35 doors (or $10k/month in passive income) by end of 2017.
Lesson learned: Keep track of the paperwork and make sure everyone in the chain gets the updated paperwork. I renegotiated the purchase price to 18k but the lender did not the updated docs and 1 day before closing, this came up. I ended up paying additional $1k as the closing had already been delayed a month and to fix the paperwork it would have been additional week or 2. Some of you might say that I should have fixed the paperwork but I guess I was impatient at that point.
Most Popular Reply
I have a couple sub-$30k properties as well. They are my best cash flowing properties. At $700 in rent, you're killing it on that one. Good purchase. I have several sub-$100k properties that don't cash flow as well as my sub-$30k ones. There is more risk in sub-$30k properties, but the potential cash flow more than makes us for it.