Updated almost 6 years ago on . Most recent reply
First home turned house hack!
Investment Info:
Single-family residence other investment in New Orleans.
Purchase price: $123,600
Cash invested: $15,000
This may not technically count, but I purchased my first home without any intentions other than becoming a first time home owner. The house required a rebuild of the kitchen, floor replacement, and update to the bathrooms. I invested $15000 in these improvements and was able to remove the PMI insurance in less than a year after purchasing the home as it appraised for $168,000. Additionally, shortly after moving into the home I decide to try my hand at house hacking and began to one of the bedrooms and bathrooms on Airbnb. Up until the pandemic, I was averaging $800 a month in reservations.
What made you interested in investing in this type of deal?
It was an accident! Was simply looking to be a first time home buyer. Did not intent to house hack, but took a leap of faith which gave me a taste of an additional stream of income, which as since resulted in me becoming a Bigger Pockets pro member and daily searched for my next investment.
How did you find this deal and how did you negotiate it?
Found on realtor.com, commissioned the help of a close broker friend to help negotiate the deal.
How did you finance this deal?
Took out a home loan from my 401K. (No penalties, just interest that is deposited back into my account upon repayment).
How did you add value to the deal?
Complete kitchen remodel, half of the floors redone, custom built bathroom sink vanity for one of the bathrooms.