First Buy and Hold-4 unit

[Louis Herley]

Investment Info:

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

House hacked my first deal with no money down. I did end up doing a buy down to get a better interest rate. This is a 4 unit with possibility of 5 units. Putting only about 15k in repairs.

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

I wanted to start out with a multiunit cash flowing right away. This town being a college town I knew that I had to be within walking distance of the college. Single family houses in the area are going for way over asking so I knew housing was in demand. Especially rental properties in the area.

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

I originally was looking on Zillow every day for a 25-50k single family investment property. Larger investors were buying them up so fast, I decided to change my search. I found this deal at 2AM on Facebook. A local guy was selling due to his stepfather passing away. He wanted 260k for the property but was open to offers. After many offers, I got it under contract for 215k. I was able to negotiate it down because the utilities were outdated.