First Home turned into Cash Cow

[Toby Kienzle]

Investment Info:

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

Purchase price: $417,000
Cash invested: $20,850

Great duplex in a great location.

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

We wanted a home where we could 'house hack' and rent out a room. This was perfect because it has a 2nd kitchen and separate entrance.

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

On the MLS.

How did you finance this deal?

Conventional loan. 5% down.

How did you add value to the deal?

It was completely remodeled at time of purchase. All we had to do is BUY it and rent it out.

What was the outcome?

Love this property! It requires very little maintenance and is always occupied. The cash flow and appreciation have been impressive.

Lessons learned? Challenges?

Lesson learned -- any renter should house hack their way to into their first property. Having someone else cover you mortgage is liberating. The power of homeownership is REAL!