My First Investment - Craddle to Grave

[Dylan J Berget]

Investment Info:

Small multi-family (2-4 units) fix & flip investment in Billings.

Purchase price: $155,000
Cash invested: $30,000
Sale price: $225,000

I am excited to share my experience with a property I recently sold, which provided me not only a significant profit but also invaluable knowledge in the realms of property renovations, tenant management, and landlording.

Originally purchased for $155,000, I invested an additional $30,000 into the property to make necessary upgrades and improvements. This hands-on approach taught me the importance of detailed planning and project management, as well as the value of working with reliable contractors to ensure the work was completed to a high standard.

Throughout my ownership, I gained vital experience in tenant management, learning how to effectively communicate with tenants, address their concerns, and maintain a positive landlord-tenant relationship. I also became adept at handling the various aspects of property management, such as lease agreements, rent collection, and property maintenance.

After a year of ownership and successful improvements, I sold the property for $225,000, earning a considerable profit. This journey not only allowed me to gain practical experience in property renovation and management but also proved to be a financially rewarding endeavor.

With the profit earned from the sale, I have now reinvested in a new property, which I am eager to share more about soon. This experience has given me the confidence to continue growing and expanding my property portfolio while applying the valuable lessons I have learned along the way.

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

What made me interested in investing in this type of deal was my strong desire to take action and immerse myself in the world of real estate investing. I realized that the best way to learn and grow was to jump in feet first, embrace the challenges, and gain hands-on experience. This approach allowed me to not only acquire valuable knowledge but also to develop the necessary skills and confidence to succeed in future investments.

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

The MLS and just offered 10% below asking.

How did you finance this deal?

Conventional Loan

How did you add value to the deal?

I rehabbed almost the entire thing. Mostly by myself but I hired contractors for the portions that I needed a contractor for.

What was the outcome?

I made some money on the property.