Upland Ca apartments set of 8, 3 out of the 8 are updated.

[Andy Lanyi]

Investment Info:

Large multi-family (5+ units) buy & hold investment.

Purchase price: $1,750,000
Cash invested: $1,750,000
Sale price: $1,750,000

Two sets of 4 apartments, I could have gotten a residential loan for each of them, but had the cash

What made you interested in investing in this type of deal?

I had some houses that sold and wanted to get into more apartments with a 1031 exchange. lot of work getting updated. Each apartment takes about $13,000 to $20,000 to update, so not in a big hurry.

How did you find this deal and how did you negotiate it?

MLS with an agent.

How did you finance this deal?

1031 from other sold houses

How did you add value to the deal?

Exterior update and three out of the eight have been updated.

What was the outcome?

I am sure the value has gone up, but i have not tried to pull any money out of them yet.

Lessons learned? Challenges?

Just little things, make sure that you do a good inspection upon buying. I made sure that the apartment had all new copper plumbing above ground, but not under ground and that is where the problem ended up being.First thing you want to do is remove all trees, roots getting into the sewer system, finally there are not as many plumbing problems.

Did you work with any real estate professionals (agents, lenders, etc.) that you'd recommend to others?

Not at this time