My First Investment! How it worked out and what went wrong

Investment Info:

Single-family residence buy & hold investment.

Purchase price: $275,000
Cash invested: $20,000

I purchased this as my first home and used for house hacking. I now use this as a long term hold rental property.

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

I wanted to live rent free. I had saved up money for a downpayment by working as an HVAC technician

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

I was living in Texas during the COVID insanity and houses were selling within 24hrs. I was unable to get an offer accepted. I ended up last minute looking at TN and bought the home sight unseen the first day it was listed

How did you finance this deal?

First time home buyers loan 3% down

How did you add value to the deal?

Built a shed out back. Added a fire pit and seating area

What was the outcome?

I lived at the property rent free for 1.5yrs. I currently rent it out.

Lessons learned? Challenges?

Always find out about any utility easements. I had to tear down my shed by city orders. Don’t install a waterline in the attic with a weak connection. It busted during a freeze and flooded the living room

Did you work with any real estate professionals (agents, lenders, etc.) that you'd recommend to others?

N/A