Duplex in Lake Charles

[Sebastian Garcia]

Investment Info:

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

Purchase price: $86,000
Cash invested: $29,000

Duplex house investment in Lake Charles, LA. First unit is 2 bed and 1 bath. Second unit is 1 bed and 1 bath. Big backyard for use by tenants. Located close to downtown. Multiple new plant constructions ongoing around the area, bringing numerous potential renters for the next 10 years.

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

Find multi-family properties to have more benefits than single family.

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

Found it through real estate agent I work with and negotiated it after seeing it and also after conducting inspection.

How did you finance this deal?

Chase Bank

What was the outcome?

Recently made some renovations on units to increase cash flow. This included indoor/outdoor paint and lawn care improvements.

Lessons learned? Challenges?

Dealing with a poor property management company. Unfortunately, around the area there are not many offering services, which now puts more of the responsibility on me to take care of the unit. Has made me learn how important it is to have people around you which you trust to run the property like a business.

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

Worked with real estate agent to attain the property. Lender was Chase, which offered low interest and additionally 75,000 pts as a bonus to my credit card.

[Sebastian Garcia]

Hey there Terry! Glad to hear fellow real estate investors are in the area. You know, I have found that multi family properties are hard to come by around the Lake Charles area. However, they can be great investments if you find them. The duplex I currently own is performing well and was relatively cheap but definitely had some luck to find it. Even with that luck, I had to do some work on it (paint, foundation repair, other small fixes) in order to get it rented and cash flowing. I believe there are some other multi family properties currently in the area but they are indeed limited. I am currently under contract for another one actually and will be closing on it next week. The rental market is also a bit slow right now with the virus looming, but I believe they will still be great long-term investments. Keep your eyes peeled for some and I will do the same. If I come across any more I will let you know. Possibilities for partnerships do exist as well!