Starter Home to Buy & Hold
Investment Info:
Single-family residence buy & hold investment in Oklahoma City.
Purchase price: $130,000
Cash invested: $582
3/1 single family residence that I purchased with the VA Home Loan as my first primary residence.
What made you interested in investing in this type of deal?
Knowing the neighbor, made this a very lucrative deal.
How did you find this deal and how did you negotiate it?
I knew the person who was selling the home and she offered a price far below market value. I decided to jump on it.
How did you finance this deal?
I financed the home through the VA Home Loan since I am a Marine Corps Veteran (6 years Active Duty). I ended up getting my Oklahoma Real Estate License before closing so that allowed me to factor in a referral fee to the purchase. I also had gift funds from the Chickasaw Nation since I am of Native Decent which helped bring my out of pocket closing costs down to a whopping $582!
How did you add value to the deal?
So far we added new efficiency upgrades such as adding Insulation into the attic (None to begin with), caulked all windows and ceiling air vents and weatherized all the doors. We made serious cosmetic changes to the home inside and outside to make a new and great curb appeal!
What was the outcome?
Home is now very cozy and homey. We ended up buying the home $35,000 below appraisal value! Similar homes on the street in neighborhood have also been selling for far above appraisal value making this home a great starter home and buy & hold long term investment!
Lessons learned? Challenges?
Persistence and patience. Home Buying process and investment knowledge.
Did you work with any real estate professionals (agents, lenders, etc.) that you'd recommend to others?
I worked with a family friend Realtor Jim Miller with Keller Williams Elite and he helped us throughout the entire process making it so simple!
