Helping fellow BPers get started in investing

[Andrew Jennings Freerks]

Investment Info:

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

Purchase price: $160,000
Cash invested: $35,000

A Bigger Pocket member I met at a local networking event had never invested, but really wanted to. He asked the right questions and I could tell he was serious, so I decided to team up with him, and we purchased this run down three flat, and gut renovated the bottom unit, while increasing the rent on the top two units. We also beautified the exterior, fixed the roof, have now rented the bottom unit to a medium term tenant as Albany Medical Center is a 5 minute walk away.

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

I know the numbers well in this market. Although it is not a home run, it is a base hit, and I will take a base hit all day long

How did you finance this deal?

Private equity for 70%. The junior investor brought 30% and I ran the deal

How did you add value to the deal?

I sourced, put together, and ran the deal.

What was the outcome?

Nice cash flowing property, while getting almost all of our cash back from the refi