6 Units BRRRR Lowell MA

[Todor Ialamov]

Investment Info:

Large multi-family (5+ units) buy & hold investment.

Purchase price: $765,000
Cash invested: $100,000

This was an off market deal that I was chasing for almost 2 years. Had use private money (100% of purchasing price + 50% of the construction budget) to purchase for building would not have passed smoke inspection.
Has an attached barn to it that will be turning into a 6 bed/2 bath townhouse. Rough electric, plumbing and framing already done. Needs around $200,000 for repairs. Will do cash refi after done with repairs and hopefully pull almost all of my money out.

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

What's of upside

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

Off market. Two years negotiations.

How did you finance this deal?

Private money. Straight up interest.

How did you add value to the deal?

By creating and extra unit - 6bed/2bath town house. Updating the rest of the units and bring rents to market.

What was the outcome?

Should be a complete BRRRR with getting all of our money invested back.

Lessons learned? Challenges?

If it was easy, everyone will be doing it!