3rd investment property

[Harvinder Singh]

Investment Info:

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

Purchase price: $408,000
Cash invested: $102,000

Purchased this investment property in highly sought after area of Colorado Springs (Old North End / Patty Jewitt). It's close to Colorado College, Downtown and easy access to I-25. Initially idea was to run as an airbnb, which we did for about 1 year. Though it made a fair amount of money it was time consuming. We changed it to a long term in the summer of 2022 and make around $500 per door.

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

Duplex, price and being in an area that is sought after.

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

Found the deal on the MLS. There were multiple offers and we ended up winning bc I went above asking price and reduced my commission.

How did you finance this deal?

25% down conventional loan.

How did you add value to the deal?

We bought down our rate as I did not expect rates to get lower in the future. Locked in at 3.125%. Also zeroscaped the property to reduce future maintenance costs.

What was the outcome?

It's been a great investment thus far. No regrets.

Lessons learned? Challenges?

Airbnb was a good while it lasted but it became too much of a time sucker. So converted it back to a long term rental. Upper and lower units can be tough but once we do a renovation on the upper unit it will make it more quite below.

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

I am a Realtor, so I represented myself.