SFR + ADU in Santa Rosa CA

[Brandon Kraus]

Investment Info:

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

Purchase price: $530,000
Cash invested: $160,000

SFR + ADU conversion. Cosmetic fixes to home, then added ADU.

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

Great ADU conversion play.

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

On market during mkt freeze (covid). Negotiated hard against motivated sellers.

How did you finance this deal?

FHA primary, refinanced after 6mo.

How did you add value to the deal?

Converted to SFR + ADU

What was the outcome?

Amazing CF and returns

Lessons learned? Challenges?

Take action when mkt is scared. Great deals can be found on mls, not only off market.

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

I represented myself.