House-Hack in Side by Side Duplex

[Neil Stark]

Investment Info:

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

Purchase price: $332,000
Cash invested: $32,000

House-hacking currently in a fully renovated duplex on the outskirts of quiet Bowmanstown. Bought this property with a 3.5% FHA mortgage. Paid 12K to get the driveway paved with ample parking and turn-around space. Tenants paying 1650/mo for 2 bed unit, and we will rent the 3 bed out for 1750 when we move. Estimated cashflow is $600 ($300/unit) after expenses.

https://www.zillow.com/homedetails/607-Fireline-Rd-Palmerton-PA-18071/93562619_zpid/

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

Reduced housing payment. Reduced competition in putting in offers on multi-family in current market.

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

Zillow. Negotiated through agent.

How did you finance this deal?

FHA

How did you add value to the deal?

Paved Driveway. Had to fix a plumbing leak and replace subflooring in kitchen.

What was the outcome?

Currently rented.

Lessons learned? Challenges?

Always check workmanship and permitting when buying renovated.

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

Investment Friendly Lender

Michael Polizzi
Mid-Atlantic Funding
570-499-4448