Duplex + Buildable Lot

[Christopher Reeder]

Investment Info:

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

Purchase price: $75,000

Duplex needing some minor repairs and a buildable lot

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

The property was an off-market listing. While viewing the property, I made contact with the owner who was showing it. Found out her and her brother were tired of being the landlord, only property they had, and wanted to sell. Through conversation, learned the empty lot next door was also owned and needed to be part of the selling package. Negotiated the purchase price to include the lot.

How did you add value to the deal?

Changed out joulsey windows, updated electrical, reconditioned storage structure in back of property.

What was the outcome?

Closed on purchase and in process of completing repairs for plumbing. Have added new tenant at current market rate and in process of updating MTM tenant with new rate.

Lessons learned? Challenges?

Don't underestimate repairs just because tenants currently occupy the property. Found out the plumbing was in very poor condition for 1 unit but tenant didn't complain until after sale had gone through.