Our first rental property

[Nathan Orlove]

Investment Info:

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

Purchase price: $25,000
Cash invested: $35,000

Nice 2 unit house located in a good are of Cleveland that's close to major work areas along with nice restaurants and shopping.

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

This house did not need a major renovation and it was something we could get done in a quick amount of time. This was our first real investment and thought it would be a great starting point for our real estate adventure.

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

We found this deal on Redfin.

How did you finance this deal?

Purchased with cash and used a HELOC against our primary address to fund the renovation.

How did you add value to the deal?

Added value by making the house interior look nicer than majority of the listed houses in the area.

What was the outcome?

The outcome worked well in our favor considering the virus that came through. This added value to the home price and allowed us to maximize rents in the area.

Lessons learned? Challenges?

We learned that we need to hire contractors and move much faster on the renovation part of the process. We are currently learning how difficult it can be to refinance a house that is this cheap. Appraisals are not my best friend right now lol

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

N/A