First Deal, Workin on #2!

[Chris Jackson]

I just closed on my first investment duplex yesterday.  WAHOO!  Here are some of the highlights:

• The bank financed EVERYTHING: They gave me a mortgage for 75% of the price and I was able to use my Unsecured Line of Credit to finance the remaining 25% down payment! You CAN invest with no/little money in the bank. The trick? I found a bank that was new to the area and was willing to do everything in-house.
• At closing I got paid $2,100 - this month's prorated rent plus the security deposits. So I literally made money on settling this duplex.
• And the biggest shock: I found out after I signed all of the paperwork that my upstairs tenants are Section 8 Tenants!  It was not stated anywhere in any of the paperwork and the seller conveniently forgot to tell me until after I had signed everything. It's a darn good thing I'm not opposed to Section 8 Tenants; and it's partially why the duplex is cash-flowing so well.

Next Deal in the work... I had my realtor send me listings for multifamily buildings that weren't sold while listed.  I am negotiating an 8-plex for $265,000 which comps put around $320,000. It is sounding right now like I might have found another local bank that is going to be willing to let me use my unsecured lines of credit for the 20% down payment needed and they will finance the remaining 80%. So I am possibly about to buy a commercial property with no/little money out of pocket again!