First Home / Investment

[Andrew Fosticz]

Investment Info:

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

Purchase price: $259,500
Cash invested: $12,000

I am currently househacking to build equity and save cash for future deals!

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

I am new to REI and househacking was the most cost-effective way to get my first deal done.

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

I was working with a realtor and she reached out to me before the house officially hit the market.

How did you finance this deal?

I had a little cash saved up and utilized an FHA loan.

How did you add value to the deal?

There wasn't much value added to the deal (it was very close to turnkey). I have done some basic cosmetic work to the house, but no major changes.

What was the outcome?

I am currently living in the house, renting out the one bedroom upstairs and enjoying the lower monthly mortgage.

Lessons learned? Challenges?

I learned that analysis paralysis is real and there will always be another deal out there that could have been better. Without taking action,I would not have started my REI career and wouldn't be enjoying my lower monthly mortgage (I was renting before).

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

I worked with Amanda Schroder, who was incredible to work with as a first-time home buyer. She walked me through every step of the process and she introduced me to the lender I used, Mike Monaghan. He was also incredible to work with and explained everything in detail to ensure I understood everything with the loan process.