All Forum Posts by: Ryan Young

After looking and looking for over 6 months, finally got my first deal done.  Here are a few of the specifics:

List Price - $79,900

Purchase Price - $65,000

Rent - $800/month

A week ago, the owner signed a lease agreement for $800/month for 12 months.  I have seen their application and everything looks great.  I was kind of nervous about there being tenants already in place but I am glad it worked out like this.  Now I dont have to worry about not getting a tenant in there!  

This house does need about 15k in cosmetic updates (paint, trim, door hardware, cabinet paint and hardware, counter tops, appliances). Updated houses in this area usually rent for about $1100/month and sell for around $115-$125k. So my cash flow for the first year is not very great (after PITI, vacancy, repairs, cap ex, and management is $110) but after a renovation after the first year, it will be around $300-$350! Or a potential flip profit of around 25k-30k.

My plan is to save money over the next year while this lease is in place, then get in there and renovate it as quick as possible next summer.  I am super excited about this deal and I am so glad I can finally call myself a "rental property owner".  Any advice as I start this journey will be much appreciated.  Thanks BiggerPockets!!

I am getting ready to pull the trigger on my first rental property soon so I began the pre-approval process.  Just got my numbers back from my lender and she quoted me with a 5.625% Interest Rate.  This is way higher than I was expected and is making me second guess some of the properties that I ran the numbers for.  Also, on 100k properties, closing costs would be close to 5k.  I do have a 720 Credit Score as well.

Just curious to see some opinions on this if I should look into another bank or do these numbers seem pretty normal? Look forward to getting some insight from you guys.  Thanks!

Hey everyone, I have been lurking around these forums for a while now but I finally am deciding to do my first post. I have been looking around my market very actively, analyzing potential properties, and checking out some properties with my realtor. I have came across a townhome (right across the street from my neighborhood) and I am very interested. This is my first potential deal so would definitely like to hear some feedback from you guys. Here are the specifics: Asking price: $100k Rental price: $1150 HOA fees: $138/month but covers a wide range of stuff such as water,trash,landscaping,etc.) After factoring in vacancy,repairs,etc, it comes out to cash flowing around $200/month and around a 10% cash on cash return. What do you guys think? Any tips/advice would be greatly appreciated.