2008-05 买的投资房 - First REO

Price: 150K ($81/sqft)
Size: 1852 sqft 3 bd, 2 bath, 3 car garage, built 2002
Sale history
01/24/2003: $217,500
02/13/2008: $284,551 (foreclosed mortgage balance)
2006 highest value est.: 448K
Location: Stockton (Weston Ranch)











Rough cash flow analysis:

Rent: $1495/month (first ads. in Craigslist asking for $1475, but found out the rent market is demanding)
1st Loan: 120K (30Y fixed at 6.375%): P and I: 748/month (no closing cost)
2nd Loan: 30K (HELOC at 5%): Interest only 125/month

Mortgage payment: 873/month
Tax: 149/month
Insurance: 45/month

Total net cost: 873 + 149 + 45 = 1067

Initial remodeling: $5000 - paint, tile flooring, and back yard concrete.

$1495 - $1067 = $428/month positive. (not counting vacancy & maintenance, only for entertainment/educational purpose)