Four plex house hack in expensive Los Angeles
Investment Info:
Small multi-family (2-4 units) buy & hold investment.
Purchase price: $725,000
Cash invested: $20,000
I used the NACA program to purchase a fourplex house hack in North East LA. I literally just closed and will begin a 6 month rehab to bring it up to market rents.
What made you interested in investing in this type of deal?
It allowed me to get into the market and live for free in a very expensive market
How did you find this deal and how did you negotiate it?
I found this on the MLS, I was targeting multiunit properties that were on the market for more than 90 days
How did you finance this deal?
I used the NACA program to finance the closing costs. I got in with no money down and no closing costs. My 20,000 was to buy points off my mortgage since I will be living in it for awhile.
How did you add value to the deal?
I am rehabbing about 65% of the property and since it only has one tenant, I will be getting market rents for the other units.
What was the outcome?
It is still ongoing. I closed yesterday.
Lessons learned? Challenges?
Persistence is the key to this deal, It took 14 months to get this deal done.
