Old metal shop turned into a luxury duplex!

[Benjamin Dodd]

Investment Info:

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

Purchase price: $30,000
Cash invested: $10,000

Duplex

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

I found the deal on Zillow. And I negotiated an owner finance with the seller.

How did you finance this deal?

At first we did an owner financing. We put down $10k and he financed the other $20k. Later we got financing with a local bank.

How did you add value to the deal?

This was a 2,350sq ft metal building that sat on 1 acre. We had to get the city to rezone this to multi family, which took a couple of months. Then we were able to secure financing with a local bank to build a duplex in the existing structure.

What was the outcome?

The duplex is now rented for $995 each side which is right at the 1% rule. We are all in at $188k. The 1 acre is cleared and we have plans to build two four plex on this land.