My very first deal as an investor!

[Mary McGinty]

Investment Info:

Small multi-family (2-4 units) hard money loan investment.

Purchase price: $382,000
Cash invested: $99,000

New construction duplex build in 2017, 3 bed, 2.5 bath, with large separate fenced in yard and with oversized garage. Tenants pay their own water and sewer costs with individual meters. This is located in a growing area right out side of Salem about one hours way from Portland.

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

Multifamily investing has multiply doors as income. If one unit is vacant then the other pays for everything. At least this is my thought process. I also, like the fact that they have safe parking with the garage. For marketing, it is great to have separate fenced in yards.

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

I stumbled upon it by accident on Loopnet. Everyone says, Loopnet has dying properties, well I found a gem! LOL I negotiated the price by only three thousand dollars but my win was, i negotiated they find the renters before close. I won!!!

How did you finance this deal?

I used my own money as a down payment with a loan from my bank.

How did you add value to the deal?

I didn't need to do anything since it was new construction. I just have lawn/yard services monthly.

What was the outcome?

I still own it. It has an excellent cashflow

Lessons learned? Challenges?

I do not live where it is located so my small challenge is getting there more often. My realtor on this deal said, do not go more than one year without seeing your property.

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

My property management team, Homestead Property Management.