BRRRR In Makawao, HI

[Patrick Franta]

Investment Info:

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

Purchase price: $450,000
Cash invested: $50,000

Bought and rehabbed a duplex in Makawao. Refinanced after the rehab to pull equity out. Currently generating $5,000/month with a $2,500 net positive cashflow.

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

Hawaii small Multi deals generally offer great cashflow

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

Found the deal through my network and negotiated directly with the seller

How did you finance this deal?

Conventional financing

How did you add value to the deal?

Renovated both units. Updated kitchen, bathrooms, paint, flooring, landscaping etc.

What was the outcome?

Added significant value and refinanced to pull out capital.

Lessons learned? Challenges?

Renovations always take longer and cost more than expected

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

Yes happy to refer.