1st Investment - Purchased while stationed in Japan

[Adam Treece]

Investment Info:

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

Purchase price: $200,000
Cash invested: $52,000
Sale price: $284,000

Contributors:
Azeez K.

First investment - Purchased while stationed overseas in Japan
4-Units - 2 Bed/1Bath

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

The economy of scale was very appealing to me...I wanted to maximize my ROI for my first investment, while still making a rather "safe" investment.

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

I found this deal through bigger pockets - I posted my introduction in the forums specifying my investment criteria, and I was able to connect with a local agent/investor. Could not have worked out any better! Thanks Azeez!

How did you finance this deal?

Traditional financing with 20% down payment.

How did you add value to the deal?

Replaced the roof, and made some marginal repairs along the way. Most importantly, I was able to get all 4 units filled with tenants and on annual leases. Prior to me purchasing the property, most tenants were on a month to month lease which in some units was not even documented. Getting vetted tenants on leases enabled me to sale the property this past fall.

What was the outcome?

I was able to almost double my initial investment, gained some practical experience, and now have more confidence investing in the future. Getting my feet wet was just the start I needed. I would say the biggest positive outcome though, was making my wife a believer in real estate investing - initially she was very skeptical. (Thankfully she trusted me enough to make the initial investment)

Lessons learned? Challenges?

Biggest lesson learned is your team on the ground is critical ***especially your management team***...I cannot stress this point enough.

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

If you are looking to invest in the greater Atlanta area, Azeez K. is just the person you are looking for! He was outstanding in helping me purchasing and selling the property!