8-Plex buy and hold in Wyoming

[Christina Linn]

Investment Info:

Large multi-family (5+ units) buy & hold investment in Rawlins.

Purchase price: $345,000
Cash invested: $75,000

8-Plex with 1, 2 and 3 bedroom LTR units.

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

My husband sent me a message and asked if we could buy a different property (5 unit) and I initially said “no”, but then realized we could refi our primary residence and buy it. We did tons of research and found a much better property in this 8-Plex.

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

We found it on realtor.com and I called the owner directly and got the property information from him. We had a deal worked out before his real estate agent became involved and it was a very easy process from there.

How did you finance this deal?

Traditional financing with a local bank on a 5/1 ARM with 25 yr amm.

What was the outcome?

We closed remotely, as I was a month away from my due date in a super high risk pregnancy. We didn’t visit he property until over a month and a half later. We had weeded out all but one tenant by then and got units cleaned/fixed and rented over the next two months. We cash flow great with this investment and it really got us into investing in other properties. We ran into issues with one platform to keep track of all our rental information, so we designed GovernRent.com.

Lessons learned? Challenges?

Adjusting to life as a new mother and landlording 10 rentals instead of 2 was challenging for obvious reasons, but I learned so much in this experience and was able to network a lot due to this deal. I learned that the shortest way to one’s goals is a straight line - in my case, directly to the owner. I also learned the value of a full inspection, which we didn’t really take the time for since it was such a great deal (new roof needed replaced because it wasn’t done correctly).