Update Property #4

Well Havent been on in a while but am gping to start getting re-energized in hte community.  will give a brief update of my current status later this weekend

on to property #4 

Property – Augusta (Martinez) GA ,

How I found it - Following my previous formula, when I was transferred to Fort Gordon, Augusta GA, housing my search was conducted with the mindset of turning it into an investment property after I left. I had been to Augusta twice before for short schooling assignments, so I did have some working knowledge of the area. My search criteria were within at least a 3/2, within 25 min of post, and located within the areas good school districts. I used a USAA Realtor reference as part of Moving program. I talked with several people in my network that had been stationed at FT Gordon, After some internet analysis, and week of on the ground searching, found a recently renovated flip in Martinez, 4 bedrooms almost 2000 square foot. By far the biggest I had seen, and was in coveted school district, plus near enough the interstate -20 so commute to Gordon wasn’t an issue.

Purchase price – listed at $135K put in offer for 125K settled on 129K.

Financing – This time took a conventional loan with USAA, with %10 down I have saved during my year in Korea. Rate was competitive but not significantly better than local or national bank. Mainly took it for processing convenience.

I lived there and owner occupied for two and half years. After receiving my re-assignment orders, I researched the local PMs and decided on of the larger ones in town based on their dedicated PM staff, maintenance issues and communication.

Current status – Tenant occupied Jan 2013, – currently rented at $1000. No issues with tenant or PM since turning the property over. PM has been excellent, best service I have seen as far as tenant screening, owner communication and managing tenants and maintenance. Recently recommended rental increase to $1025 upon renewal in January 2016

Rental rate $1000

Current value~ Zestimate ~$140K as of October 205.

Mortgage – original Mortgage (90% of PP) of $116,100 at 4.5 % current balance ~ 104K 4K

Mortgage payment –Total PITI of $789, will be adding prepayment once property paid off

Expenses taxes 300 year

Insurance 500 year

Property Management 1200 year (10%) + $300 lease renewal fee

Maintenance – Property was in good condition when occupied, maintenance has been very little since turnover. Minor plumbing and electrical work

CAPEX – None major over 3 year period. CPAEX reserves are combined with other properties

Property Way ahead – Keep as rental increase in Jan 2016. Will look to keep as rental at least until property two paid off. .May look to sell/ refinance in finalize final location upon retirement or value increases another %40 so I would be able to pull $50-80K of equity out of property. Currently it has good rental history, strong PM and manageable debt costs.