I was still too excited from the 1st purchase of my life. I ended up bought a 2nd one just a couple months later. I was a little bit short on money after the purchase of my 1st house so i asked a family member to do a 50% joint venture. we basically split everything by 50%
This one is pretty close to the 1st one. This is still the period of cherry picking the MLS so no surprise story there.
I remembered i was so excited after we closed. I woke up at 4 AM. go to the house, paint it, do a little repair here and there. go to work at 7:30 AM, go back at 5 PM and keep working on the house until 9 or 10
Rehab cost: $2,000
Financing: 20% down using conventional mortgage
Rent: $1200 ($1250 as of 2015)
What is happening to this property:
2012 update: I immediately get good tenants after a couple day listing on market. I have to thank my broker for this. he was my mentor back in the day where i started.
2013 update: I got stupid and decided to pay off my 30 years conventional mortgage!!! This was probably the dumbest decision ever. I was young and dumb. I did not realize the power of leveraging. Anyhow, the house is still cash flow so i’m ok
2015 update: Houston Market appreciated like crazy. I refinanced the property and get all of our money out, plus more. the house is now 100% leverage instead of 0%. and it is still cash flow well. my original tenants are still with me. They are nice people, and so am I! If you don’t know me. I am one of those landlord where i would put in premium laminate and stainless steel appliances for my tenants. I treat people how i want to be treated. It’s getting as simple as that