Southern Orchard double

[David Yoder]

Investment Info:

Small multi-family (2-4 units) wholesale investment in Columbus.

Purchase price: $65,000
Sale price: $75,000

952 Stanley has a renter in place for $600/month (month-to-month).

This Southern Orchard area is appreciating quickly and there are multiple single family flips occurring in the $200-$300k range (higher end finishes - Granite, stainless steel, tile showers, etc.). I believe that an ARV of $150-$175k is a conservative estimate after completion. Rent is currently at $600/month but should be at $750-$800/month once the units are completely cleaned up. The current owner didn't want to invest the money necessary to make this a desirable rental. The desire is to repair this unit to a higher level and desirability than the neighbors so that I can select the highest quality longer-term tenant.

As-is and once completed the mortgage should be covered with one side rented out and cashflow heavily when fully occupied.

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

I'm a landlord and this property was almost stabilized.

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

I was calling bandit signs and a new wholesaler had this lead

How did you finance this deal?

I didn't have to.

How did you add value to the deal?

Did my due diligence and marked the property

What was the outcome?

Someone in network got a great deal.

Lessons learned? Challenges?

Never sell to a newbie, write a contract for 45 days and market it widely early.