Details on 1st Milwaukee Area Investment

[Susan Antani]

Investment Info:

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

Purchase price: $165,000
Cash invested: $40,000

Fairly turnkey duplex in the St. Francis, WI area. 3 bed 1 bath upper, 2 bed 1 bath lower with extra finished room in basement. 2 car garage, fenced yard. Upstairs needed painting but that was pretty much it. Bathrooms were in great shape with upper having been remodeled within lasts 10 years. Over time will eventually redo kitchen cabinets, counter tops, floors in both units but for now, put tenants in both units right away.

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

Was a very easy way to jump into long distance investing. After looking at many properties via our in-state realtor (I'm from the area, visit frequently and know the neighborhoods very well) this was the most turn-key property we'd come across. Was a lot of cash to part with upfront for a down payment but invested with a partner.

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

MLS listings via our local realtor.

How did you finance this deal?

Traditional financing. 25% down payment on a small multi-family for investors.

How did you add value to the deal?

Was fairly turnkey and ready to rent after a quick paint job.

What was the outcome?

Holding steady at $600 month cash flow after setting aside a year's worth of money for vacancies and expenses.

Lessons learned? Challenges?

Learned that I don't like putting that much of my own cash into a deal. Looking at BRRRR method going forward to get back some of the cash we put in.

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

Realtor - Samuel Erickson