House Hack turned BRRR : Duplex Baltimore

[Kenneth Cheston]

Investment Info:

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

Purchase price: $140,000
Cash invested: $40,000

House Hack BRRR

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

Low money down, high rent, high appreciation

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

Direct Mail. Off market. I took the asking price (during the pandemic).

How did you finance this deal?

FHA 3.5%

How did you add value to the deal?

DIY renovate lower unit. Hired contractor for top unit.

What was the outcome?

15% Coc ROI after I pulled $23k out using a HEL.

Lessons learned? Challenges?

I was very slow due to the DIY and not actually living in the property half the time. Next time I'm just going to hire a contractor for the entire job and keep it under 3-4 months.

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

No agents. They aren't really that helpful when tracking down deals. I used a mortgage broker.