Townhouse Buy and Hold
Investment Info:
Townhouse buy & hold investment.
Purchase price: $285,000
Cash invested: $76,000
2 bedroom 1 bath townhouse with two parking stalls near military bases.
What made you interested in investing in this type of deal?
It was easy to rent out and was turn-key.
How did you find this deal and how did you negotiate it?
Through my agent. I had no competition and purchased it off season.
How did you finance this deal?
20% DP conventional 30 yr. 4.625%.
How did you add value to the deal?
It generated $1850/mo from military tenants. It is in a highly sough-after area that was still affordable on Oahu.
What was the outcome?
I paid my mortgage down to $150k, renovations at $12k and will put it on the market this month. Sellers market heavy now in SFH with low inventory. List price will be $350k.
Lessons learned? Challenges?
I would avoid properties with HOA fees because it brings your profits down a lot. It can go up a lot within a short period of time.
