Updated over 4 years ago on .
Loooooong Term Rehab
Investment Info:
Condo buy & hold investment in Orlando.
Purchase price: $37,500
Cash invested: $17,000
A Spacious 1BR/1BA we purchased just after we got married. My wife was renting it for about a year & half prior to marriage, and once I I moved in, started talking to owners to see if they would sell. They initially said no, but after some negotiation (4 months) we settled on the sale price. I would estimate the sale price in today's market would be circa $85,000.
What made you interested in investing in this type of deal?
It was in our lap, and I just opened my eyes to try to create something out of what we were sitting on. I knew I wanted to own something, and it made sense to offer on the place we were already staying and familiar with before we went out and spend 4-5 times the price we could have
How did you find this deal and how did you negotiate it?
In the description I explain a lot, but my fiance was renting it and once we got married I moved in; I wanted to save $$ instead of throwing it away paying someone else's mortgage. I initially asked how many properties our landlord had and started building a relationship asking them about their story. They said they were not interested in selling; they then came back to us and said, "well, if we were interested in selling we would have to have this". Negotiation in process.
How did you finance this deal?
We put $2k down and they offered Owner Financing on a 30 year note at a 5% fixed rate.
How did you add value to the deal?
We built a relationship with them, and were great tenants while renting. Since purchase, we have renovated much of the unit, except the kitchen (still to come), for approximately $15k.
What was the outcome?
We still own the property and have renovated most of the unit. We had been living in it, but just moved from Orlando, and are considering using it as a vacation home or using it as a long-term rental.
Lessons learned? Challenges?
I learned to ask around for good contractors and request at least a few different quotes from the suggestions. I also learned that if I don't ask, I will never know what options I can negotiate in life, and especially in Real Estate, SO ASK!
Did you work with any real estate professionals (agents, lenders, etc.) that you'd recommend to others?
I did not work with any real estate agents on this deal, but would recommend an AMAZING Agent: Crystal Jenkins (407).491.5847.