Long Term Hold

[Mauricio Salom]

Investment Info:

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

Purchase price: $505,000
Cash invested: $150,000

After holding our first property for 2 years to avoid paying taxes we sold and took a portion of the proceeds and purchase a SFR with a large detached garage that was already converted to a 2 bed 1 bath. We renovated te front and legally permitted the garage and have both rented out.

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

taking an SFR and being able to add a unit good neighborhood
Large Marina development less than 1 mile away

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

My realtor helped a friend buy a property a few doors down on the same street

How did you finance this deal?

conventional financing

How did you add value to the deal?

renovated front unit and pulled permits and converted detached garage in 2bed 1 bath unit

What was the outcome?

great long term hold that cashflows well

Lessons learned? Challenges?

ADUs do not appraise as well as you might think, any time you have have to deal with the city be ready for a terrible experience

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

I have a great realtor that happens to be my wife lol Iris Salom
For financing I went with a great mortgage broker that works with a lot of local Real estate investors Kenny Simpson who is also very active on bigger pockets