2nd Property. 1st Quadplex

[Dylan Heidrich]

Investment Info:

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

Purchase price: $493,000
Cash invested: $3,500

I bought this 4plex on a FHA loan for $493,000.
PITI payments $3300 & total rent is $5200
After the seller paid for closing costs, my RE commission, and receiving rents for the month, I only spent around $3,000 of my own money.

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

I knew I could get an FHA loan and I want to take advantage of all the low down payment loans I can.

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

I found this on the MLS for $525k. I initially offered $520k & then after the inspection came back I changed it to $475k. We agreed upon $493k with seller paying for all of the closing costs.

How did you finance this deal?

FHA Loan 3.5% down

How did you add value to the deal?

No repairs needed
I raised the rents to fair market value for 3 of the units

What was the outcome?

Other people now pay for my monthly PITI payment and then some.

Lessons learned? Challenges?

I think the biggest lesson is just really understanding what it takes to manage 5 units

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

Family Mortgage in PB Gardens couldn't have done a better job.