Investment Info:

Single-family residence buy & hold investment.

Purchase price: $402,000
Cash invested: $30,000

Single family home with fully separate basement apartment. This property started as a house hack renting out the 3 bedrooms in the basement individually. After 1.5 years of house hacking and many renovations (funded by the tenants) this property had appreciated greatly. We were able to take out a HELOC and used that to buy two additional properties. This home is now fully rented and cash flowing nicely.

What made you interested in investing in this type of deal?

The opportunity to purchase an undervalued home with many avenues to force appreciation.

How did you find this deal and how did you negotiate it?

MLS. Made an offer with an escalation clause in order to slightly out bid a cash offer.

How did you finance this deal?

Used a HELOC from a previous home as a down payment.

How did you add value to the deal?

Full kitchen and bathroom renovations. Added a bedroom in the basement.