First Multifamily Property and House Hack using VA Loan!

[Kyle Daley]

Investment Info:

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

Purchase price: $102,500
Cash invested: $4,000

Contributors:
Pat Heidingsfelder

Currently House Hacking living in on of three units. One is rented out with lease from old owner at below market rent and working on renting last unit out. Currently at a loss but military BAH covers rent leaving me with more than 300 in left over BAH taking out expected losses.

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

Listened to a lot of podcasts and followed my own requirements for the numbers and this was one of few that actually seemed to work for my situation in my area.

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

Found this deal on Realtor.com and had help negotiating the price with Pat Heidingsfelder as my agent.

How did you finance this deal?

I used the VA Loan.

How did you add value to the deal?

I fixed up one of the vacant units and bought the property and 20k below appraised value.

What was the outcome?

Currently in the works to make it fully profitable!

Lessons learned? Challenges?

Make sure to get leases of tenants that are staying early and clarify more details in writing instead of just verbal. Currently with tenant that is paying over 150 under market rent until April 2021 since the old owner was their relative.

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

Pat Heidingsfelder was my Real-estate Agent and was very helpful through out the whole process, especially since it was my first time!