My 3rd Deal but first Probate property

[Quentin Mitchell]

Investment Info:

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

Purchase price: $25,000
Cash invested: $12,000

This is a smaller multi-family that I purchased with a tenant already in it, I was able to raise the tenant's rent right after I purchased it. I then rehabbed the downstairs unit and am renting it for 800 fully paid by a housing program, also the tenant I inherited had to move (went into a nursing home). Now I will have a section tenant moving upstairs in the new year as soon as her packet is given to her for 700 so my monthly income on the place will be 1500 I was previously;y getting 1400. Also, the property recently appraised for 60,000 in less than 2 years.

It was a probate property so it was in pretty good shape just a little TLC and I upgraded the kitchen in the downstairs unit, redid the upstairs kitchen but not a complete remodeled and remodeled both bathrooms.

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

The price and house when I saw it.

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

I found it on the MLS and it was listed at the price that I paid.

How did you finance this deal?

Cash

How did you add value to the deal?

Complete remodel of bathrooms, complete remodel of 1 kitchen and an upgrade to another kitchen and new windows.

What was the outcome?

I was able to raise the rent on the tenant that was currently living there and was able to get 800 for the downstairs unit totaling 1400, the upstairs tenant had to move he got sick but I have another tenant that will move in the new year for 700 so the home will be making 1500.

Lessons learned? Challenges?

Probate properties can take a long time due to arbitration but if it's the right property it can be worth it.