Our Largest Multi to Date!

[Seth Hobbs]

Investment Info:

Large multi-family (5+ units) buy & hold investment in Danville.

Purchase price: $110,000
Cash invested: $110,000

This 8 unit was bought using the BRRRR method. We paid cash for it, renovated, got mostly new tenants in and refinanced. It is worth 225,000 after renovations and value add. We only put 30,000 in it on top of the purchase price.

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

The price per door and we were looking to grow units exponentially, so the deal made sense.

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

It was on the MLS for awhile

How did you finance this deal?

Cash

How did you add value to the deal?

renovated 6 out of the 8 units and raised rents

What was the outcome?

The building is worth significantly more than what we purchased and rehabbed it for. It is a great addition to our portfolio.

Lessons learned? Challenges?

Very challenging dealing with the seller. He was emotionally attached to the property so it didn't go like a normal transaction with the ability to renegotiate due to due diligence. But the deal still made sense for us at the time.

Did you work with any real estate professionals (agents, lenders, etc.) that you'd recommend to others?

Yes my agent in Illinois. I would highly recommend her. I have worked several deals with her and she is young and hustles! Her name is Hayley Shore. Contact me if you would like her contact!