Winter Garden Duplex

[Judson Osbon]

Investment Info:

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

Purchase price: $350,000

We purchased this duplex off market with private money. We intended to hold the property but the rate increases have pushed us into cashflow neutral territory if we were to refinance. Our balloon payment is coming due in a few months and the property is currently for sale. We will use the proceeds to invest in cheaper cash flowing properties.

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

We love the area and see it continuing to grow for years to come.

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

I previously sold the property and represented the buyer. After their son managing the property didn't work out they contacted me interested in selling the property. Rather than listing it, I negotiated a deal that worked for both of us.

How did you finance this deal?

Private lender, 100% financing

How did you add value to the deal?

We kept one tenant and signed to a two year lease. The other unit needed a complete renovation after the tenant destroyed it. We also painted the exterior, did lots of landscaping work, and installed a new privacy fence giving each unit a private fenced back yard.

What was the outcome?

The duplex is currently for sale. We plan to use the equity we cash out to invest in cheaper properties with stronger cash flow.