Pocket Listing Purchase - FL 8 Unit Value-Add Investment

[Ian Brown]

Investment Info:

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

Purchase price: $220,000
Cash invested: $10,000
Sale price: $360,000

8 Unit Value-Add C class MFR in Jacksonville FL

Purchased my own "pocket listing" and did light rehab - paint/pressure wash/rebranded

Added section 8 & HUD tenants while curing existing loss to lease

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

Low Market Exposure, Low Competition, Perfect size for Equity I had on Hand

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

My Pocket Listing

How did you finance this deal?

Local Credit Union 80/20 LTV

How did you add value to the deal?

Cured loss to lease, paint, pressure wash, appliances, worked w/ Jax Housing Authority to get more HUD/Section 8 Tenants

What was the outcome?

Sale to South Florida investor

Lessons learned? Challenges?

Hard to reposition properties out of cashflow.

It was a good time to sell it.

Any more value-add or capx work would've required significant capital, so I had done what I could to move the value with limited capital.

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

Brokered on my own behalf