Our first duplex in Provo, UT!

[Chris Horton]

Investment Info:

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

Purchase price: $305,000
Cash invested: $300

Bought this house with $0 down, minus the cost of the appraisal. My wife and I will be owner-occupying until we decide to move into another property, or it makes more financial sense for us to look elsewhere.

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

Since a senior-year class in high school with a teacher who said the words, "the smartest thing to is buy a duplex as soon as you get married, and live in half until they're ready to move out and rent both units." We moved into a basement apartment where we settled into rent for at least a year while we saved up some cash. We saved the cash quicker than we expected (even though we never needed) and our landlords helped get our 1st deal.

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

We had an email update us with deals posted the day earlier arrive every morning at 4:00 am. I'm an early riser so every day I would get up and analyze anything compelling that came on. There were higher offers on the property, but because of the mutual relationship that we had with the sellers, they took our offer.

How did you finance this deal?

Utah housing loan, with common plans to refinance in 12 months-BRRRR method!

How did you add value to the deal?

Currently mudding/taping/texturing/painting several rooms that weren't completed very well. Framing out the separate entrances. Shiplap on ceiling in one room. Basic landscaping on front and backyard. Exterior upgrades like siding, paint, caulk in foundational settling cracks, etc..

What was the outcome?

A great property!

Lessons learned? Challenges?

Keep an eye on leads and maximize the amount of leads coming in

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

Yes, the landlords we rented from for 6 months helped us prospect, analyze, and close the deal. Haley and Graden Ostler.