First Four plex Investment

[Michael Bertrand]

Investment Info:

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

Purchase price: $335,000
Cash invested: $92,000

Four-plex, nice neighborhood

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

I like small multi family. Minimizes vacancy losses since you have the other units still occupied. You experience more vacancies, but you’re just more insulated since you have 3 other doors in the same property. We’ll see!

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

Through Rent To Retirement. Easy, smooth, 1 stop shop. Property was totally rehabbed and seller in Cleveland was absolutely fantastic to work with.

How did you finance this deal?

Conventional 30 year mortgage, 25% down, 6% interest rate.

How did you add value to the deal?

None. Just buy and watch the bank account go up. Property management is great as well.

What was the outcome?

So far so good.

Lessons learned? Challenges?

Trust the numbers you’re given but verify them. Go to the county tax assessors website and check the actual property taxes. Get with a great insurance provider and and know what you’ll actually be paying. Always be in contact with your lender so you understand how rates are moving.

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

-Rent to Retirement for a super smooth transaction and high quality inventory.
-Bill Brewer with Shelter Insurance. Based in Memphis, but does insurance in quite a few states. He’s amazing.
-SecurityNational Mortgage Co (Aaron Chapman’s group). They’re the best there is.