After three months of searching and offers, we’ve got our first 3 doors under contract. Actually, as of this writing, we’re about a week after getting under contract and, knock on wood, all seems good. This one will be the first buy-and-hold rental property. Based on our numbers, it’ll cash flow $850 / month after all expenses (including professional property management) and the cash on cash return is 18.5% so I’m very, very happy with this win, especially in the market right now.
So far, I’ve looked at hundreds of properties since January of this year, and I’ve taken deep dives to analyze about 50 of them. We’ve been slow to make offers – our first offer was in the first week of March (and it was accepted! At that point we were 1 for 1 with our offers!) but we ultimately backed out after learning the listing agent hadn’t been honest w/ some significant information. Since then we’ve made about 10 offers and this was the first to be accepted – I’m thrilled – it should close in about 3 to 4 weeks and I’ll update once we close.
3 Units – (3/2/2) w/ free-standing garage for monthly storage (extra $) and off-street parking for all tenants. Up until now, I’ve focused mainly on BRRRR deals – hoping to buy something, rehab to force appreciation, rent, and refinance – ideally that way I could pull all (or most) of my money out of the project and basically get an infinite return on the asset, but those (so far) are extremely hard to find on the MLS, which is where we grabbed this property.
Only 97 to go to hit the first 100! Gotta have goals!