First investment duplex

[Merle Brubacker]

Investment Info:

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

Purchase price: $59,000
Cash invested: $12,600

1400 sq ft duplex that is currently renting at $175 under market rent of $550-$600. Will need light rehab and a new roof in the near future. 20% down with 20 yr am at 5.09%

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

The potential to increase equity and cash flow

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

MLS. The Real Estate Broker I was working with knew what I was looking for. Looked and offered the same day and took a counter offer the next day.

How did you finance this deal?

Local bank with a commercial portfolio loan.

Lessons learned? Challenges?

The curent challenge will be dealing with a horder tenant that has no lease or current documents. Hopefully get them moved out quickly and rehab for the next one.