Multi Family Short Term Rental in Cook County!

[Matthew Bernal]

Investment Info:

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

Purchase price: $972,000
Cash invested: $225,000

Currently buying my two partners out!
Will convert to this large, 3 unit multi family home with an unfinished basement into a 4 unit duplex up/duplex down airbnb rental. Daily rates expected to be 350 per unit.

Currently offering 8-12% to investors interested in getting involved for 7 months!
PP: $972,000
ARV: $1,800,000
NOI: $321,993
DCR: 3.74
IRR: 22.43%
Equity Multiple: 1.12

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

My goal is to hold over 1,000 rentals nationwide by 2023

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

I saw that my two partners were ready to exit, so I offered them a flat fee to exit. It was very friendly.

How did you finance this deal?

Both the initial purchase and the refinance are funded via hard money and private investors. I am still seeking investment for the second phase of the project.

Lessons learned? Challenges?

I learned the difficult lesson on the importance of choosing an architect wisely.

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

Meg and Russ Wood from Compass Realty were the BEST! Contact them at 773-273-9581