Duplex bought at a tax auction sale

[Kevin Mantell]

Investment Info:

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

Purchase price: $60,000
Cash invested: $60,000

Property was purchased at a tax auction. There was a 9 month redemption period before we could take possession and begin the rehab.

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

Partners in the area are very, very experienced in this sort of deal. I came in as a capital investor and they will manage the rehab.

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

Working with Tax Auction Investors, who specialized in the Philadelphia area.

How did you finance this deal?

Self directed IRA

How did you add value to the deal?

Rehab will increase the rent. It can be $1800 per side

What was the outcome?

Still doing the rehab

Lessons learned? Challenges?

It is hard to find a good deal, but they are out there. You need experienced partners to help do a deal like this.