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Updated about 6 years ago,
HUD Duplex with Good Mid Century Bones
Investment Info:
Small multi-family (2-4 units) buy & hold investment.
Purchase price: $63,000
Cash invested: $25,000
Duplex purchased from HUD
What made you interested in investing in this type of deal?
This was a 1960s ranch duplex in a great neighborhood near the high school and shopping. The units were large and had hardwood floors and good layouts. Of course because it was a HUD foreclosure it had been stripped of the copper pipes, AC and appliances which for me as a newbie was a shock because it looked so nice from the interior. But it was easy to put in PEX pipes which will last and replace the AC with new furnaces.
How did you find this deal and how did you negotiate it?
Listed on the MLS but had been dropped in price many times because no one wanted to buy a fixer duplex.
How did you finance this deal?
Cash
How did you add value to the deal?
Redid the hardwood floors, painted inside and out, cleaned up the landscaping, put a metal roof on the carport (my husband did it himself with the help of my son because it was a flat roof!), new electrical, windows and refinished the tubs and enclosures.
What was the outcome?
Very easy to rent duplex.
Lessons learned? Challenges?
Always get into and look around the crawl space...there are important surprises down there to check regardless of the spiderwebs!!!