W Park Ave Duplex - Buy, Fix, & Hold Strategy
Investment Info:
Small multi-family (2-4 units) buy & hold investment in Charlotte.
Purchase price: $413,850
Cash invested: $60,000
Duplex - Buy, Fix & Hold Strategy. Living in one side, and renting out the other. House is located in a super prime location and was immediately able to be rented, but needed significant work to improve. Scale of work is ongoing but includes significant foundation repairs, new siding, new landscaping, as well as minor electrical and plumbing.
How did you find this deal and how did you negotiate it?
Off market acquisition. House was listed about 9 months earlier and taken off the market. I reached out to the owner directly and structured a deal whereby I 'offered' more than his asking price, but had him pay maximum allowable closing costs so preserve as much of my cash as possible for repairs.
How did you finance this deal?
Conventional mortgage as well as a personal loan to help with the down payment. Duplex required a 15% down payment with conventional mortgage, and the lender required foundation repairs to be made before closing. The existing owner would not pay for the foundation work, so I invested an additional $14k into the foundation before owning the home.