5 Unit Multi-Family Investment
Investment Info:
Large multi-family (5+ units) buy & hold investment.
Purchase price: $80,000
Cash invested: $16,000
This property consists of four separate buildings, one of which is a duplex. The other three of which are single-family, all on one legal description.
What made you interested in investing in this type of deal?
I am investing in a 5-unit multi-family property to diversify my portfolio and generate passive income through rental income. The stability and potential for appreciation in the real estate market make it a sound long-term investment. Additionally, owning a multi-family property provides the opportunity for economies of scale in management and maintenance costs. I am confident that this investment will provide a solid return on investment and contribute to my financial goals.
How did you find this deal and how did you negotiate it?
As amusing as it may sound, I stumbled upon this deal in a tire shop's parking lot. I was there purchasing tires for my vehicle when I overheard a man mention that he was considering selling the truck he was driving. Coincidentally, I was in the market for a used truck of the same make and model. My interest in his truck led to a conversation, and when I revealed my profession as a Realtor, he informed me of some properties he was considering selling.
How did you finance this deal?
I am currently utilizing owner financing on this property.
How did you add value to the deal?
With my expertise in real estate, I am able to use my knowledge to improve the properties to their maximum potential.
What was the outcome?
I acquired the properties and now I am improving the properties little by little.
Lessons learned? Challenges?
The challenge I am currently facing is securing funding to renovate the properties for optimal rental potential.
Did you work with any real estate professionals (agents, lenders, etc.) that you'd recommend to others?
I am the real estate professional.