First house hack purchase

[Colin E Stevenson]

Investment Info:

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

Purchase price: $54,900
Cash invested: $3,200

First investment...house hack. Up and down duplex. Both units were occupied and collecting $910/month in rent between them.

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

A house hack was the first goal for me. This property fit the bill.

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

Found the deal on the MLS. It seemed like a good price for the amount of rental income it generates, so I made a full price offer contingent on the seller paying $2500 in closing costs.

How did you finance this deal?

This was a WHEDA loan available in the state of Wisconsin. It's essentially a no money down loan. The down payment is rolled into the mortgage.

Lessons learned? Challenges?

I had a hard time getting rid of the upstairs tenant after her lease had expired. She had still failed to vacate after a 28 day notice to leave. Not wanting to go through an eviction right off the bat, I worked out a deal with her to leave some of her bigger items in the basement for a couple months so she could move them in the spring when the weather was better.

It worked out and I was able to get in when I wanted.