First rental out of state

[Marciano Martinez]

Investment Info:

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

Purchase price: $98,000
Cash invested: $15,000

I purchased a duplex in Milwaukee as my first rental property, utilizing a conventional loan with an 8% fixed interest rate. This property is intended for long- term hold, providing stability and growth potential. After covering all expenses, the duplex generates a positive cashflow of $400 per month. I think decent first investment.

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

Reading The Book On Rental Property Investing back in 2019, but never pulling the trigger because of analysis paralysis.

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

Found my real estate agent on bigger pockets. Built a relationship with him, he showed me his property around town. Found it on flexmls. We negotiated at a price i was willing to pay and they were willing to sell.

How did you finance this deal?

Conventional 30 year fixed 8%

How did you add value to the deal?

Cleaning the landscape makes a huge difference. In the process of renovating top unit.

Lessons learned? Challenges?

Im sure lessons will arise this upcoming year, building the right team teaches you more then a book will ever give you.

[Marciano Martinez]

Quote from @Clare Pitcher:

Marciano, 

This sounds like a great first investment. I always suggest buying and holding as the best choice for real estate investing. Your last point is absolutely correct when you say "Building the right team teaches you more than a book will ever give you". Sounds like you have a great mindset and plan moving forward. Are you currently self-managing? 

Hey Clare, yea currently managing since i want to know what exactly managing is and how i can autopilot later on. Eventually i'll get a PM but in the mean time im just sending it.