All Forum Posts by: Eli Gillespie

I've always been interested in real estate investing, although it's always come second to other pursuits. I own one single family residence as a rental which has been working out wonderfully with great cash flow but I've never put in the time to figure out how to repeat the magic that I stumbled upon with this place. I'm trying to change that. I just finished The Small & Mighty Real Estate Investor and it has inspired me to create a plan to acquire three more units in the next 6 years. Bigger Pockets has been a great help getting me familiar with understanding this game. I'm excited to start looking for properties with motivated sellers.

Investment Info:

Single-family residence buy & hold investment.

Purchase price: $122,000
Cash invested: $46,000

Bought house in 2003, house-hacked as I fixed it up slowly over the course of seven years. Moved out in 2012 and converted it to a rental. Paid off in 3/2022. Currently cash-flowing about $1,234/mo.

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

In 2003, I only knew that I didn't want to spend money on rent, so I decided to buy a house I could afford.

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

I was looking for a house in a more desirable part of town, and coincidentally, my parents, who owned this house as a rental, wanted to sell and buy commercial. So I reluctantly bought this one because it was all I could afford.

How did you finance this deal?

I used cash I had saved up for the down payment and got a standard FHA loan.

How did you add value to the deal?

Replaced roof, upgraded/installed HVAC, installed landscaping, garage door, windows, painted interior and exterior, remodeled bathroom.

What was the outcome?

It's been ideal. I house-hacked before I knew it was a thing - just seemed like a good way to earn money - which paid my mortgage and then some. I lived in it fixed it up slowly as I could afford. I was able to keep it as a rental when we decided to move out.

Lessons learned? Challenges?

Challenges is accepting that this first property has spoiled me and that my next property may not cash flow as well and have such few problems.

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

Allied Pacific Property Management in Yucaipa, CA is my PM and they are awesome.