5 Unit Mixed Use- Doubled in Value over 2 Yrs

[Matthew Morrow]

Investment Info:

Single-family residence fix & flip investment in Coplay.

Purchase price: $105,000
Cash invested: $150,000
Sale price: $230,000

Off Market, Single Family Flip. Customized and sold to client who was able to pick each detail of the project in a crazy real estate market. No competition or advertising. $80K profit, zero personal cash used in deal.

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

Mixed used / multi family was the original goal. This fit the bill perfectly

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

Direct marketing to local owners. Negotiated in-person and appeased their situation.
Seller paid ALL closing costs.

How did you finance this deal?

Conventional commercial mortgage. Down Payment sourced from HELOC. Closing Costs all paid by seller. Zero cash our of pocket into the deal

How did you add value to the deal?

Deferred MX considerations, Massive rent appreciation adjustments to market over 24 months. Remodel / repurpose several units to highest & best use.

What was the outcome?

Still holding property. Appraised at nearly 2X original purchase price, Cash-out refi and rolled proceeds into 7 more doors....all of which are similar scenarios to this with large upside / value add.

Lessons learned? Challenges?

Too many to list. Would love to explain via phone or email lol

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

I am an Agent, and work with investors.