Great Price, Great Home, just ensure the location details.

[David Ebersole]

Investment Info:

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

Purchase price: $225,000
Cash invested: $15,000

4 bedroom, 4.5 bath home. This was a single family residence with a mother-in-law suite. I've closed off the main home from the MIL Suite so I could rent out the MIL suite as well as the main home. It's a beautiful home with hardwood floors throughout the main home. The home features a custom kitchen as well as a wood burning stove in the living room, enclosed sunroom, and large bedrooms. The Master bedroom has a large walk in closet as well as secondary small closet. There is a one car attached garage. Concrete patio in the back that is perfect for grilling and relaxing.

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

I was getting ready to get married and needed a bigger home for my two boys, my wife, and her daughter. The home was big enough as the bedrooms were HUGE and the main house had 3 beds, 2.5 baths, and was enough space for my family. The garage was great because I own a laser engraving business and that could be housed in the sun room, and supplies in the garage. The MIL suite is great with 1 bedroom/loft? upstairs. It has 2 bathrooms. Downstairs has a kitchen and living room area.

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

I found the deal through the MLS and contacted my realtor about it. It was originally listed for $275k, over time, it dropped to $235K. We offered $225k as it had been on the market for almost a year, and had the seller pay closing costs.

How did you finance this deal?

I used my VA Loan.

How did you add value to the deal?

The MIL Suite was not in good shape. It was useable, but just not appealing. We renovated the downstairs with new drywall, cabinets, appliances and painted. It looks 10x better now than it did before. We also removed the carpet in the main house that was on the stairs and landing area. removing the carpet made the main all hardwood floors throughout

What was the outcome?

I bought the home, lived there, and now renting out both units.

Lessons learned? Challenges?

Check flood zones.... My car had flooded 3 times while I lived there as it is really close to the water but not "waterfront" property. Well.... when it floods,.... it's waterfront property. I love the house which is why I still own it, but the flooding.... check the flood zones. Also be sure to have a solid inspection. We bought the home and the inspector said everything was fine, even the roof that had a "dry" leak that was fixed. It was not. Thankfully water has never come into the house.