Updated almost 6 years ago on .
First investment property purchase
Investment Info:
Single-family residence buy & hold investment in Tarzana.
Purchase price: $167,000
Cash invested: $25,000
My first investment purchase. Beat odds to purchase during a probate sale and beat out other offers. Has been a rental since (2011) with increasing rent per year creating a healthy cashflow.
What made you interested in investing in this type of deal?
My desire to own income producing real estate.
How did you find this deal and how did you negotiate it?
I found and negotiated this deal myself. It was a probate sale which required court confirmation. I beat out all other offers and qualified for the loan by a hair.
How did you finance this deal?
Conventional loan with 10% down
How did you add value to the deal?
Small updates prior to tenant occupancy like new paint, cleaning interior.
What was the outcome?
This has been a great rental unit providing cashflow and exponential growth in value due to appreciation.
Lessons learned? Challenges?
Finding the right tenant. Qualifying for the loan. Buying even though I had to increase my original offer and beating out others.
Did you work with any real estate professionals (agents, lenders, etc.) that you'd recommend to others?
Myself