My first multi family investment.

[Mary Ruddy]

Investment Info:

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

Purchase price: $694,000
Cash invested: $202,000

NextGen home, home with a mother-in-law suite. The 4 bdrm, 3.5 bath, 2 car garage side of the home is rented. I live in the suite with a single car attached garage.

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

I was ready to initiate my plan of selling the home I was living in and reinvesting in a property that could generate passive income. I’m looking to do the same again, now.

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

This was a new build. I was the Construction Manager on the site these homes were being built on. I had worked on another site with a larger plan but didn’t the timing wasn’t right. It was Divine intervention.

How did you finance this deal?

I had planned to by and sell after the 2 yr capital gain requirement was met on the home I purchased after a divorce. I had to rebuild, I knew real estate was the only way to make it happen.

How did you add value to the deal?

On the original home I took the 3 car tandem garage, turned it into a 2 car and created another bedroom, adding another 172sq ft of usable floor space. Roughly adding $34k to the value of the home.

Lessons learned? Challenges?

Keep driving the plan. You may need to wait on some timing issues but stay focused.