All Forum Posts by: Kim Warren-Page

@Account Closed Thank you! I am normally a very positive person who loves a challenge.  But this property got the best of me.  I appreciate the encouragement.  It's motivating me to make a new plan to turn this property around.

Investment Info:

Single-family residence buy & hold investment.

Purchase price: $250,000
Cash invested: $50,000

We purchased this property specifically as a short-term rental. It is an Italian Villa located one exit from The Great Smoky Mountain National Park. European patio with a hot tub and gorgeous view of the mountains keeps it booked!

Hi @Vraj Patel!  

We created an LLC with 2 members. My partner had the capital contribution and the note in her name. My husband and I did the remodel and set up the Airbnb.  Once money spent on the closing and remodel are paid back from the profits, then profits will be split 50/50, as well as equity when we decide to sell.  

Investment Info:

Large multi-family (5+ units) buy & hold investment.

Purchase price: $150,000
Cash invested: $20,000

Bane of my existence... I should never have invested in Anderson, SC. The crime rate, drug use, unemployment are higher than Greenville, SC . This is a twenty unit mobile home park.

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

My husband and I were looking to replace the income from our plumbing company with income from our real estate investments. At the time of purchase (if everyone actually paid rent and we could get good renters), it would have generated $11,000/month in net profit. But it was a disaster. We ended up selling a majority of the units for $8,000-13,000 a piece and now charge lot rent.

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

Our realtor, a friend from middle school, found this deal for us.

How did you finance this deal?

We finance this deal through a small, local bank with 20% down.

How did you add value to the deal?

Lol... We haven't. We've tried. We would remodel a mobile home and screen for a great tenant only to end up with a destroyed property after an eviction.

What was the outcome?

The property still cash flows. Because most are lot rent only, our stress level has decreased dealing with this property. Not sure of the exit strategy here...

Lessons learned? Challenges?

Do not buy a trailer park in certain parts of Anderson, SC.

Investment Info:

Single-family residence buy & hold investment.

Purchase price: $250,000
Cash invested: $50,000

We purchased this property specifically as a short-term rental. It is an Italian Villa located one exit from The Great Smoky Mountain National Park. European patio with a hot tub and gorgeous view of the mountains keeps it booked!

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

I was looking for a house within two hours of our primary residence in a tourist area in order to invest in a short-term rental. My budget was $300,000 and I wanted a 20% CAP rate. I thought I could make 100,000 gross on this property and $72,000 net.

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

I found this house on the Realtor app. Loved it from the minute I saw it... so much potential. A true diamond in the rough.

How did you finance this deal?

Brought in a partner who finance this deal as a second home

How did you add value to the deal?

We remodeled the property from a one bedroom into a two bedroom. My husband remodeled the bathrooms, painted, installed new tile in the kitchen. The antique church doors were outside being damaged by weather. My husband brought those in and installed them as the master bedroom doors. Stunning!

What was the outcome?

It STAYS booked! We are so pleased with this property's performance. Definitely looking to repeat this process again!

Lessons learned? Challenges?

Finding the right realtor in an unfamiliar market was new to me. The company I chose also managed short-term rentals in the area. They were very knowledgeable and helpful.

Investment Info:

Single-family residence buy & hold investment.

Purchase price: $425,000
Cash invested: $100,000

This is a 6 bedroom, 5 bathroom, 10 acre farm with a barn, pool, hot tub, 1 acre stocked pond, and utility building.

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

Originally purchased this to be our home. However, months after our purchase, my aunt, diagnosed with terminal cancer, moved in and died in our home. After her passing, we needed a change of scenery, but did not want to sell the house. Providentially, I ran into a woman in town who runs Airbnb's. She set it up as a Airbnb and it has been amazing! Here is the link:
https://www.airbnb.com/rooms/46279382?guests=1&adults=1&s=67&unique_share_id=2c502ad8-3b9a-4e4a-9cc4-99402b53b233

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

Our realtor, a friend since middle school, found this deal. We originally purchased it as our primary residence.

How did you finance this deal?

Conventional Loan with 5% down

How did you add value to the deal?

We completely gutted this house! Took down six walls, added a deck, installed hardwood floors throughout, and installed a high-end kitchen... Cost of $100,000

What was the outcome?

We love visiting this property, but especially love the income it is generating for our family of eight. We NEVER dreamed this property would do so well as an Airbnb. It is not in a tourist area, but wow! We are thrilled with the income generated by our farm as a short-term rental.

Lessons learned? Challenges?

Always think outside the box! We would never have thought this property would do so well. Be willing to take a chance!

Investment Info:

Single-family residence buy & hold investment.

Purchase price: $425,000
Cash invested: $100,000

This is a 6 bedroom, 5 bathroom, 10 acre farm with a barn, pool, hot tub, 1 acre stocked pond, and utility building. We originally purchased this to be our home. However, months after our purchase, my aunt was diagnosed with terminal cancer. She moved in with us and died in the home. After her passing, we needed a change of scenery, but did not want to sell the house. Providentially, i ran into a woman in town who runs Airbnb's. She set it up as a Airbnb and it has been amazing! Here is the link on Airbnb.

https://www.airbnb.com/rooms/46279382?guests=1&adults=1&s=67&unique_share_id=2c502ad8-3b9a-4e4a-9cc4-99402b53b233

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

We NEVER dreamed this property would do so well as an Airbnb. It is not in a tourist area, but wow! We are thrilled with the income generated by our farm as a short-term rental.

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

Our realtor, a friend since middle school, found this deal. We originally purchased it as our primary residence.

How did you finance this deal?

Conventional Loan with 5% down

How did you add value to the deal?

We completely gutted this house! Took down six walls, added a deck, installed hardwood floors throughout, and installed a high-end kitchen... Cost of $100,000

What was the outcome?

We love visiting this property, but especially love the income it is generating for our family of eight.

Lessons learned? Challenges?

Always think outside the box! We would never have thought this property would do so well. Be willing to take a chance!

Investment Info:

Single-family residence other investment.

Cash invested: $20,000

We inherited this property, located in one of the best neighborhoods in Greenville, from my aunt. Although this property does not cash flow well, we have decided to keep it.

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

We have six children and this house holds a ton of memories. One of the children may decide to live in it one day. So, even though it does not cash flow well, we have decided to keep it.

How did you finance this deal?

We assumed the mortgage from my aunt.

Investment Info:

Single-family residence other investment.

Cash invested: $10,000

I inherited this property from my mother. After she passed, we rented it in order to keep it.

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

I inherited this property. Because I could generate cash flow by renting it, my husband and I decided to keep it.

How did you finance this deal?

We assumed my mother's mortgage on the property.