Another rental that i picked up along the journey from a wholesaler in 2015. This one i partnered with one of my friend and we are in the deal 50% 50% on everything. i charged a small management fee every month to maintain the investment
I didn’t expect too much of the repair on this deal since the property is in good shape. However this turned back and bite me on the butt for not doing a full inspection. No part of the AC unit can be saved and it costed me a fortune to put in a brand new AC system. All the Kitchenaid brand name stainless steel did not work either after closing. I didn’t know about Habitat for humanity store back then so i paid a little bit high for the appliances. and yes, i do stainless steel for my rental if you asked.
Another lesson learned is the PAINT! make sure you get the HOA to approved your paint!! I did not and after a year of trying to avoid the problem. I finally have to repaint it with an approved color.
Other than that, everything is great so far. we got great tenants in after just 3 – 4 days on market. they are still staying up for a little bit over a year now. we also capture a bit of the equity since the market in Houston is going up as well
My PM think i am nut because i spend so much money on premium window blind for the whole house. I will take his advice seriously, but my philosophy of investment has been: “treat the tenant how you want to be treat – and fix the house up so that if you need to move in, you don’t mind”. So far i has very low turnover rate and good long term tenants with this philosophy. I hope it will stay this way in the future as well