DUPLEX INVESTMENT PROPERTY.

[Tyler Cotter]

Investment Info:

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

Purchase price: $123,000
Cash invested: $30,000

Duplex property. Purchased using a 30 year fixed conventional. Down payment and costs of repairs cash was used via my IBC policy.

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

Great cashflows for the area at a starting pricepoint that I was happy with.

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

After doing some homework I narrowed it down to Toledo Ohio. After finding the City, I was put in contact with an Agent (Dave Poeppelmeier) via an investor friend.

How did you finance this deal?

My downpayment came from a loan against my IBC policy that my wife and I have. We then secured a 30 year conventional loan.

How did you add value to the deal?

We negotiated some minor plumbing issues during our escrow. Outside of escrow I also used my IBC policy to fix additional issues.

What was the outcome?

I was very happy with the overall condition of the home. The plumbing issues were minor, but gave us the ability to work with the seller and find middle ground. Currently have two tenants paying market rent, and area leased until mid 2023.

Lessons learned? Challenges?

Lender qualifications/ and expectations of the property did pose issues during escrow. This posed a challenge and at times I didn't think the file would go through. So much of escrow comes down to communications and building the team that can work through issues.

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

As an LO for TQL Financial I was able to handle the loan service. I worked with Dave Poeppelmeier of LAPLANTE REAL ESTATE. I was super happy with Dave and he is ultimately the reason this deal worked out. The guy hustles! I'm also very happy with my purchase of an IBC policy through James Neathery's office. This gave me the financial support to get this transactions completed.