Skip strikes again!!

[Matthew Irvine]

Investment Info:

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

Purchase price: $75,000
Cash invested: $15,000

Side by side duplex that needed a full remodel on one side but was essentially rent ready on the other.

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

Looking for 2% deals

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

I worked with an agent on an reo, he called me several months later and asked if I wanted to by his duplex. He was an older guy named Skip, real gem, always buying and selling. This property had too much work for him and it had appreciated enough for him to get out at a profit.

How did you finance this deal?

Private money, 12 month term, no fees, interest only 12% paid monthly.

How did you add value to the deal?

We cleaned up and painted the left side unit, fully built out the right side unit(over did this unit, but it looks great and will rent well for years to come.)

What was the outcome?

Rented both units and completed a cash out refinance at 205k.

Lessons learned? Challenges?

I personally placed both tenants here and had countless issues, this is when i realized i had no business wearing the realtor hat. Subbed that job out going forward.