First deal- house hack

[Hunter Rodman]

Investment Info:

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

Purchase price: $279,000
Cash invested: $45,000

I renovated this duplex, forced appreciation, and put new leases in place that were almost double than prior management. Now, I have a large amount of equity and cash flow between $800-$900 per month.

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

Originally wanted to live for free, and now use it as a long term rental.

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

Got lucky and found it on the MLS during a hot time. It was poorly marketed and I was able to negotiate a significantly lower than list price, and had sellers replace the furnace and hot water heater after the inspection period.

How did you finance this deal?

First time home buyer, 3% down conventional with ADU used as additional income.

How did you add value to the deal?

Sweat equity! Pretty much rehabbed the entire property, new cosmetics on everything and basically just cleaned it up.

What was the outcome?

Lots of equity, and a fantastic property in a great location that will hopefully treat me well for a while.

Lessons learned? Challenges?

This was the first of many, so it was quite scary all the way though. I learned everything from financing to drywall work.

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

Karen at the Mortgage Source in Laramie. Fantastic lender who found a way to make it work very well.