First 5+ unit property....

[Scott Rye]

Investment Info:

Large multi-family (5+ units) buy & hold investment.

Purchase price: $950,000
Cash invested: $225,000

6 units building. Starting rehab, rent adjustments, utility raise, Cap Ex projects, interior refresh. Projected CF by November 2020.

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

Off market deal brought to us by our MF Broker.

How did you finance this deal?

75/25 local bank financing.....5/30 at 4.125% and .5 pts. Closed on March 20 with zero problems.

How did you add value to the deal?

Negotiated $80K off price for new exterior concrete, garage roof, new windows, electrical upgrades, interior refurbishments, boiler. Financed these funds and the bank set up account to draw for all cap ex items up to 80K with no time limit. Only need to submit invoices for payments...The local banks are far more flexible than big box banks.

What was the outcome?

Just started the project.....

[Craig England]

@Randell Mullally Local banks tend to want at least 20% down but they work with you and your situation pretty well.  Integrity Bank and Trust,  State Bank of Falcon,  and First National Bank(Flying Horse or Monument)  are all good local banks if that's the route you want to go.