VICTORY! I finally did it

[Nicholas Sheridan, Jr.]

Just closed on my first SFH 2 weeks ago and I am AMPED to have finally defeated paralysis analysis and joined the club. Quitclaim deed has been initiated and the property is officially in the LLC's name. Let the fun begin! Here are the dirty details:

• Purchase price: $112,502
• 25% down
• 3.375% int rate (paid ~ $1,500 in points)
• 3 bed 2 full bath with 4th non-conforming bed in the basement
• Detached garage and carport
• Property taxes $1,127
• Insurance $1,050
• Property management 5%
• Rent $1,250
• Vacancy rate 5%
• Maintenance and repairs 6%
• Oh **** fund 5%
• Cash flow $421/month

My main issue going forward (like many fellow investors) is having enough capital to purchase more properties. I am able to find great (> 1% on the 1% rule) properties but I don't want to wait 6 months to save up enough cash. Time to get the BP book on no and low money down and also find some partners!

[Scott Trench]

@Nicholas Sheridan, Jr. in light of your post, we are going to officially relabel the “capex reserve” in our calculators the “oh sh** fund”. This is far more intuitive.

Congratulations on what seems like a great first step!