First Deal. Duplex Out-of-State

[Travis Limbocker]

Investment Info:

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

Purchase price: $135,000
Cash invested: $5,000
Sale price: $153,000

Contributors:
Robert Musallam

Started our (my wife and best friend) investment career by purchasing a turnkey property in Kansas City, MO. This was the "springboard" property that ignited the passion to continue growing our business.

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

Wanted an easy starting point to real estate investing without many barriers to entry.

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

Through my business partner's real estate network we met a broker who focused on proving turnkey real estate properties in the Midwest to California-based investors. Used our personal savings to acquire.

How did you finance this deal?

Traditional 75% LTV financing.

How did you add value to the deal?

Turnkey property required very little work. We implemented professional property management to ensure property operations and great tenants.

What was the outcome?

Ended up selling the property after seeing some appreciation that we weren't originally projecting.

Lessons learned? Challenges?

Small MF is great but for almost the same level of effort, you can purchase larger, commercial properties. This property really provided the justification for us to scale out business quickly by focusing on commercial assets.

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

DM me for recommendations