SFH w/ADU in East Austin

[Jordan Moorhead]

Investment Info:

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

Purchase price: $260,000
Cash invested: $80,000

Contributors:
David Ivy

Bought a SFH with an ADU in the backyard. Full rehab done on main house and ADU.

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

I found more opportunities with SFH and ADU than I did with duplex with current market conditions. This property is in a great location in a changing neighborhood.

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

I found this through and agent and on the MLS. I jumped the day they lowered the price and put in an offer without seeing the interior.

How did you finance this deal?

Traditional bank financing

How did you add value to the deal?

New kitchens, bathrooms, roof, hvac, flooring, paint, siding, windows and just a general full remodel.

What was the outcome?

Currently renting. Gross rent should be $3200

Lessons learned? Challenges?

Listen to your inspector! This home had many issues that we didn't find until we started work but the inspector told me not to buy and just could tell their were issues.

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

I had a great Realtor and Contractor that helped and I'm happy to recommend them, along with a rockstar lender.