My first out of state purchase.

[Stephanie Freed]

Investment Info:

Single-family residence buy & hold investment.

Purchase price: $54,000
Cash invested: $54,997

Remodeled 3 bedroom 1 bath single family home built in 1951 in a quiet neighborhood with detached 1 car garage and fenced in back yard.

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

I have always had more faith in real estate as an investment vehicle than say the stock market. I appreciate the tangible value (of real estate... people will always need a place to live) vs the volatile value of a stock on paper that may not be worth the ink its written in or too easily misrepresented or manipulated.

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

I found it searching that local market, and utilized the service of a highly recommended local real estate agent.

How did you finance this deal?

Paid cash.

What was the outcome?

I was wanting to test the market and the recommended agent, as to her knowledge of the local area, the suggested rent amount, and the recommended property management company. I used this purchase to decide if future investment in this area was to be considered.

Lessons learned? Challenges?

I learned that the end of December was not the ideal time to purchase a property, as I was not able to take advantage of a property tax reduction whereby a tenant was required to be in place by January 1st to take advantage of this property tax savings.

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

Yes, this was my first out of state purchase. The real estate agent came highly recommended and she has proven to be a wonderful boots on the ground advocate!