Just closed: a 12-unit apartment complex

[Chiagozie Fawole]

I got interested in real estate last summer and joined BiggerPockets. My goal at the time was to own a 5-unit apartment complex "one day," but it came sooner than I expected. We closed on a 12-unit last Friday!

I learned I will be moving to Rochester (NY) this fall, back in February. I was excited about the new position at the University of Rochester, but even more about the prospect of growing our real-estate business. Our first deal was a rehab in Norfolk, VA, but I wanted to get into the rental property/multifamily space. I started analyzing properties, reaching out to brokers, and in the process found the 12-unit on which we eventually closed.

We bought a recently-rehabbed building, all studios. Our investors put down the out-of-pocket costs, while we secured the mortgage. Purchase Price was $353000, with $3000 as credit towards a new boiler. CAP rate, 11.5%. The property appraised for the purchase price.

I am very excited about this, and would like to thank all those whose stories inspired and encouraged us to move forward. It was a parachute jump, in faith. I also want to thank those who answered my questions and made recommendations along the way - your time spent on the forums produced results!

My goal is to own "200 units by the end of 2017...or its equivalent in flips." So far we're 2 deals down, 13 doors - only by the grace of God. 

[Brian Adams]

@Chiagozie Fawole, I am so proud of you, way to take action!!!

I buy 100 to 400 unit deals and now that you have a 12 unit under your belt, you will most likely want to go bigger - FASTER!! 

Your goal of 200 units by 12/31/17 is reasonable. What you need to do now is use this 12 unit as massive leverage with your brokers. Call as many as you can and share with them your good news. 

When you now say you own product, brokers will really listen to you as you are proven. Be ready for when the broker asks you "What types of deals are you looking for?"

Have a clear and concise answer ready to go...

Big High Five coming your way!!