A large 3-unit property that was in need of some work. After some mid-level renovations, including a roof and a new chimney, the property cash flowed very well and eventually allowed us to cash out, thanks to my wife's incredible skills as a realtor.

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

This was a pure investment for both cash flow and equity build.

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

It was on the MLS listed at $150,000 and getting very little activity. It was owned by someone in GA who had inherited it from his uncle, and he had absolutely no interest in owning it. After determining the ARV myself, and having an inspection done, I made an offer of $120k which he accepted.

How did you finance this deal?

Part of the negotiations included the owner holding the note for 1 year with interest only payments, which allowed me time to do some renovations, get it rented, and build enough equity to refinance into a conventional loan.

How did you add value to the deal?

I started one unit at a time, as only one was occupied at the time of purchase. New floors, some kitchen and bath work, and some deep cleaning. I also installed a new roof and tore down and rebuilt the large center chimney.

What was the outcome?

It turned out to be a great cash flow investment that paid well for the 6 or 7 years that we owned it, and when the market really took off post covid, we decided that we should take some money off the table and chose this property to cash out on, and we were able to sell it for far more than I had ever hoped.

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

My wife Skyla is an incredible realtor who was able to convince me that she could sell it for far more than I ever thought, making it a no-brainer to sell.

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3 Unit Property, Purchased with Own Financing

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