Indy Duplex-From Bank Loan to Cash Offer

[Anastasia Gamino]

Investment Info:

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

Purchase price: $55,000
Cash invested: $80,000

Duplex- It had some fire damage in the kitchen, so were weren't able to obtain a loan from the bank. We had to quickly act and find ways to pull the cash together!

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

An area where we knew we could get long term tenants since it is a family friendly neighboordhood.

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

MLS- we negotiated by eventually offering 55K cash instead of our original plan of using a conventional loan and paying 65K. Original asking price 70K

How did you finance this deal?

Cash and private money

How did you add value to the deal?

We were able to create a functional 3rd bedroom.

What was the outcome?

We will be able to refinace shortly and reinvest all the money we put into the deal. We are currently receiving rents of 1500 a month.

Lessons learned? Challenges?

Be creative! Don't be afraid to get small loans from family and friends to help fund your deals! Sometimes it's easier to get a small loan from them to fund a distressed property than a conventional loan.

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

Diego Hernandez