First intentional investment

[Matthew Rutledge]

Investment Info:

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

Purchase price: $170,000
Sale price: $170,000

Met a flipper and landlord on a plane. Next thing you know I’m buying a duplex off him.

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

The calculators showed numbers not easily doable in my home area.

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

Met the seller on a plane.

How did you finance this deal?

HELOC on my primary residence

How did you add value to the deal?

I didn’t. Turnkey.

What was the outcome?

16 months in, demonstrating good cash flow. One good tenant. One move out, one eviction (pending)

Lessons learned? Challenges?

Trust your gut. Trust the numbers. If the one thing not updated was the furnace, that furnace is probably going to die. Verify the title company did ALL their work. And always buy your property manager a Christmas present.