The Chelsea Duplex (My first Investment)

[NaTarrio Jones]

Investment Info:

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

Purchase price: $54,500
Cash invested: $32,315

Small Duplex. 2% Deal. 22% ROI. Monthly Cashflow is based on self management.

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

The potential cashflow and ROI really made this deal attractive.

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

This deal was found on MLS. I was able to get an offer accepted for less than asking and after inspection I was able to negotiate an additional reduction in price.

How did you finance this deal?

Conventional Financing 25% down.

How did you add value to the deal?

Both units received updates. Tiled floors (no carpet), new kitchen cabinets, counter tops etc.

What was the outcome?

Initially I was terrified to pulled the trigger but it turned out to be the best decision I have made. Cash flow is great plus I'm learning a ton about the business by self managing.

Lessons learned? Challenges?

There were several areas of miscommunication with contractors. I had to get rid of one because of the level of work being performed. I could have done a better job of vetting my contractor. I also learned that I need to have a more detailed scope of work and have everything in writing.

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

Boydeia Glass of Generation Realty