Fully Renovated Four-Plex Buy and Hold

[Jake Dilly]

Investment Info:

Small multi-family (2-4 units) buy & hold investment.

Purchase price: $584,000
Cash invested: $140,000

I am currently working to close this deal. After selling our Single Family property. We wanted to scale up. We looked for a few months with little luck as the market is inflated at this time. However, we feel this will be a great buy hold property as the Columbia Basin is experiencing great growth at this time.

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

We wanted to scale up, cash flow, and have little property maintenance. This property has a new roof, new siding, new interiors etc. It allows us to own a property and have peace of mind.

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

I found this deal on the MLS. As a purchase it cash flowed. So little negotiations had to be made.

How did you finance this deal?

Conventional financing.

How did you add value to the deal?

Buy and hold is our strategy on this one. Over time we assume inflation will increase the value. We were not looking to scale fast, but rather re-invest our cash in order to not spend it.

Lessons learned? Challenges?

Find a deal that cash flows. Don't try to make a deal cash flow by negotiating. Time is wasted if you try to negotiate a deal.

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

My wife and I brokered and financed this deal.