$182k profit on 3 family property within 10 years.

[Hyacinth Dolor]

Investment Info:

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

Purchase price: $159,000
Cash invested: $15,000
Sale price: $245,000

I bought during housing crash in 2009. Sold to wife 10/2018 and gifted her 10% equity to sweeten deal for the bank. Now waiting next deal with 1031 option. So profit was $100k from rents plus $82k at closing. Today I still own the same property with $600 monthly cash flow.

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

B class neighborhood. Buying it for 1/2 the previous owner bought and great cash flow.

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

I stalked it and offered to manage it for free prior to purchasing it.

How did you finance this deal?

FHA

How did you add value to the deal?

Very efficient Reno. Used appliances and fixtures. DIY on Nights and weekends.

What was the outcome?

Needed cash to reinvest but with my little income due to stay home dad and investment income out of country banks would not refinance me. I decided to sell to my heavy income wife at market value a had our attorney structure deal to avoid taxes legally.

Lessons learned? Challenges?

Consult with every professional (not friends), neighbors and make the right decision based on facts not aspirations. “Not friends” only meant for friends who do not know your talent, determination and facts about the deal.

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

Yes realtor and Wells Fargo. Then got my real estate license because I noticed my realtor had deals she wasn’t showing me. The best $2k ever spent.