16 Unit Value Add Multifamily Update - Metro Detroit Market

16 Unit Value Add Multifamily Update - Metro Detroit Market

Investor · Metro-Detroit, MI · Member since 2021 · 63 posts · 54 votes

My wife Andrea own over 100 rental properties in Metro-Detroit...We chased this 16 unit down for TWO YEARS before finally getting the owner to sell it to us back in 2022.

It had A LOT of work that needed to be done:
- Tenants weren't paying rent on time or at all.
- Units were completely outdated and had deferred maintenace.
- It needed a community face lift and re-brand (was called windmill apartments....yuck.)

We came in and strategically worked our business plan:
- We upgraded the exterior including fresh paint, signage, and landscaping.
- We removed delinquent tenants and changed the community standards around to provide a safe and clean place of living.
- We've upgraded 75% of the units with fresh flooring, paint, cabinets, countertops, and appliances as needed.

When we took over the property the 16 units were producing around $9000/month in gross rent.

I just checked our rent roll today, and we just crossed $17,000 in gross income monthly! This property alone throws off a few thousand dollars in cash flow each month.

Listen, there's nothing more powerful for you and your family than investing in real estate.

You can't add value to your crypto.

You probably don't even know what your 401k is invested into (or, if you even SUPPORT the companies you're investing in.)

You can't add value to your Apple stock or Meta stock.

But you CAN buy a great property, fix it up, solve the problems, and INCREASE the value (and cash flow.) Have any questions about the deal? Post them below or DM me. We own a real estate brokerage in Birmingham MI and help investors get into cash flow rental properties like we do. If you ever need anything at all don't hesitate to reach out to us!


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  • Investor · Philadelphia, PA · Member since 2016 · 69 posts · 34 votes
    2y

    I love this post.  I couldn't agree more with your crypto & 401k comments.  For the last month I've been exploring the idea of dumping my 401k into an apartment building.  Of course the numbers have to work but when I find it that's the game plan. 

  • Bjorn AhlbladPro Member
    Investor · Shelton, WA · Member since 2017 · 6k+ posts · 6k+ votes
    2y

    Congratulations to you both. REI powerhouses for sure! Done right this is a very rewarding business all the way around and you are a testimony to that. Hats off!!

  • Investor · Metro-Detroit, MI · Member since 2021 · 63 posts · 54 votes
    2y
    Quote from @George Voutsinos:

    I love this post.  I couldn't agree more with your crypto & 401k comments.  For the last month I've been exploring the idea of dumping my 401k into an apartment building.  Of course the numbers have to work but when I find it that's the game plan. 


     Glad it was helpful! Congrats to you for looking to get more out of your 401k. If you ever are looking to invest in metro-detroit let us know we work with a lot of out of state investors!

  • Investor · Metro-Detroit, MI · Member since 2021 · 63 posts · 54 votes
    2y
    Quote from @Bjorn Ahlblad:

    Congratulations to you both. REI powerhouses for sure! Done right this is a very rewarding business all the way around and you are a testimony to that. Hats off!!


     Completely agree! Thanks for the comment. :) 

  • Michael SmytheBusiness Member
    Real Estate Agent · Metro Detroit · Member since 2023 · 4k+ posts · 3k+ votes
    2y

    Curious as to why you installed carpeting instead of longer lasting hard surface?

    Logical Property Management4.9453 Reviews
  • Investor · Metro-Detroit, MI · Member since 2021 · 63 posts · 54 votes
    2y
    Quote from @Michael Smythe:

    Curious as to why you installed carpeting instead of longer lasting hard surface?


     Wasn't in our business plan for this property 

  • Lender · Member since 2022 · 441 posts · 134 votes
    2y

    Tony! I love the energy & message of this post. 
    Properly sharing and educating others is so important, glad to see others doing it!

  • Member since 2023 · 74 posts · 134 votes
    2y

    Amazing job @Tony Stephan!! Sign looks epic!

  • Investor · Metro-Detroit, MI · Member since 2021 · 63 posts · 54 votes
    2y
    Quote from @Jonathan Weinberger:

    Amazing job @Tony Stephan!! Sign looks epic!


     Thanks!

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