Buying a home at 19 then leveraging it for a 5 UNIT!!

[Geoff Cavender]

Investment Info:

Single-family residence buy & hold investment in Warsaw.

Purchase price: $90,000
Cash invested: $26,000

This is a Single Family home that I bought at the age of 19, for $90,000 with $0 down. I lived in this home for 6 years until I bought a bigger home to fit my growing family in 2019. I turned this into a rental property and just recently leveraged the equity in it for a down payment on a 5 Unit apartment! Even after leveraging this property still cash flows $300 a month!

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

I was 19 years old with a 2 year old son living with my mom. My parents had helped me build up credit since I was 16 years old and then I got a full time job that was good enough to get financed for a USDA loan on this home.

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

Used my aunt who was and is a realtor

How did you finance this deal?

USDA 0 down

How did you add value to the deal?

No value added at time of negotiation but I did do some renovations and added a chain link fence

What was the outcome?

Still hold this property as a rental property, and just leveraged the equity in it to use as a down payment for a 5 Unit Apartment Building

Lessons learned? Challenges?

Single family homes in a community with great jobs are GOLD

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

I am now a real estate agent so I recommend myself!!!