Added bedrooms supercharge the cash flow.

[Victor Herman]

Investment Info:

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

Purchase price: $125,000
Cash invested: $125,000

I found this duplex on the MLS and I was able to make a quick all cash offer of $125,000. One unit was rented under market.the the was vacant. I got to work on the vacant unit and non renewed the tenant that didn't want to renew on a new lease with increased rent. I was able to change both side from 2 bedrooms to 3 bedrooms and increased the rents incredibly.

I did refinance to get my cash back out. Although the appraisal came in lower than I wanted its all working out.

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

Covid scared everyone. Not me

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

MLS, mad a quick cash offer

How did you finance this deal?

cash to start. refinanced once the property was seasoned.

How did you add value to the deal?

I had the interior and exterior painted and all new windows.

What was the outcome?

great cash flow machine.

Lessons learned? Challenges?

vendors vendors vendors. keep a good list and treat them well. hopefully they will treat you well.