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First Investment and House Hack - New Britain, CT (Its Go Time!)
Investment Info:
Small multi-family (2-4 units) buy & hold investment in New Britain.
Purchase price: $286,000
Cash invested: $57,200
First investment property and house hack! 3 - family located in New Britain, CT. Purchased with two tenants in place and a vacant third floor unit. Not a ton of work needed but will need a roof in the next few years. Seller covered closing cost to put funds towards the roof. It's the beginning of an incredible journey. Why don't you join me?
What made you interested in investing in this type of deal?
Was seeking out a 3-4 family in New Britain or Bristol, CT. Was specifically looking for a property to house hack. House hacking will allow for expanded opportunities by minimizing my personal expenses resulting in funds to put into real estate.
How did you find this deal and how did you negotiate it?
MLS, not much of a negotiation due to hot market conditions. Seller paid for closing cost due to age of roof. Originally I turned down this accepted offer for a potential BRRRR property in Bristol, CT which did not work out. My agent jumped on the phone and found out they were having some issues with their potential buyer for this property and accepted our original offer again. Phew, I got lucky there!
How did you finance this deal?
Conventional with 20% down, owner occupied.
How did you add value to the deal?
Not a value add deal. Tenant rents can be bumped up some for additional income. Will be a long term buy and hold.
What was the outcome?
Very straightforward purchase. No issues on either side. Simple 30 day closing.
Lessons learned? Challenges?
There is a lot to learn and your first deal most likely won't be a home run (would be nice though!). The sooner you accept that, the sooner things will happen. Taking action is really the most important step in REI followed by persistence. It took lots of offers and a gagillion (new word) BP calculators before I landed this property. While this may not be my best income producing property in the future, it will ultimately be my best deal as it will be a catalyst for bigger things!
Did you work with any real estate professionals (agents, lenders, etc.) that you'd recommend to others?
Buyer's Agent: Michelle Lorenzetti of Investors Connection CT
Insurance Agent: Justin Sloan of BSP Insurance
Lender: Gary Root of First Choice Mortgage Services, LLC
Attorney: Joette Trinh of Keily Mira Law
@Brandon Rush
Congrats. That's a nice looking unit. Great price compare to Washington DC area.
Congrats on the purchase! I agree getting started is the most important part! I am currently househacking in Middletown and own a couple other properties in the area as well. Feel free to reach out if you have any questions!
Ryan
Originally posted by @Nick Tran:
@Brandon Rush
Congrats. That's a nice looking unit. Great price compare to Washington DC area.
Thanks Nick!
Originally posted by @Ryan Twombly:
Congrats on the purchase! I agree getting started is the most important part! I am currently househacking in Middletown and own a couple other properties in the area as well. Feel free to reach out if you have any questions!
Ryan
Thanks Ryan, I will message you. Lets chat.
@Brandon Rush Congratulations!!! Really nice building
Originally posted by @Cheryl Moore:
@Brandon Rush Congratulations!!! Really nice building
Thank You!
Hi Brandon,
I agree, taking action is very important. I am diligently looking for my first house hack investment property. Congrats on the unit!
Hi Brandon,
I agree, taking action is very important. I am diligently looking for my first house hack investment property. Congrats on the unit!
Originally posted by @Lydina Howie:
Hi Brandon,
I agree, taking action is very important. I am diligently looking for my first house hack investment property. Congrats on the unit!
Thanks Lydina, good luck on finding your first property. One big tip that was given to me which helped a lot was to focus in on a specific market, city/town, and almost down to the street! I was looking all over the place which made it very overwhelming. Once you begin to focus it makes the decision much easier.
Hi @Brandon Rush, having watched your journey to buying your first MFR, this sentence in your post is - in my opinion - the most important:
"While this may not be my best income producing property in the future, it will ultimately be my best deal as it will be a catalyst for bigger things!
I think a LOT of people (myself included) stand to benefit from this realization as the CT and Western MA markets have finally seen some price bumps over the last few years. The 2012-2016 years are long behind us, and buying performing 3 family properties for $150,000 just isn't happening right now.
Congrats man!
Congrats @Brandon Rush. Always great seeing people make moves in the local market.
-
Real Estate Agent CT (#RES.0799665)
Originally posted by @Filipe Pereira:
Hi @Brandon Rush, having watched your journey to buying your first MFR, this sentence in your post is - in my opinion - the most important:
"While this may not be my best income producing property in the future, it will ultimately be my best deal as it will be a catalyst for bigger things!
I think a LOT of people (myself included) stand to benefit from this realization as the CT and Western MA markets have finally seen some price bumps over the last few years. The 2012-2016 years are long behind us, and buying performing 3 family properties for $150,000 just isn't happening right now.
Congrats man!
Thanks Filipe, it took a lot of mental power to finally pick this one up. Those damn BP podcast can make you set some super high (often too high to start) goals. I still have those super high goals but also have to remind myself no one picks up 1000 properties in a day. One step at a time. Thanks for your support.
Originally posted by @Andrew Syrios:
Awesome Brandon, congrats! What do you think the ARV is?
To be honest, I would probably say the ARV is pretty much what I bought it at, $286,000.
Originally posted by @Michael Noto:
Congrats @Brandon Rush. Always great seeing people make moves in the local market.
Thanks Michael. I heard some great things about you from an investor I was recently on a call with. Would love the opportunity to work with you in the near future.
I love it man. I agree totally that taking action is the key. CT is an evolving market at this point.
Originally posted by @Brandon Rush:
Originally posted by @Andrew Syrios:
Awesome Brandon, congrats! What do you think the ARV is?
To be honest, I would probably say the ARV is pretty much what I bought it at, $286,000.
Built in equity is always nice, but it's great to get in the game regardless. Good luck with the property!
Congrats on the deal Brandon. I'm currently on the hunt for my first multi I'll be house hacking-New Britain is one of the main towns I'm targeting as well!
Congratulations on your first acquisition @Brandon Rush. Glad to see that you got your first multi-family.
Originally posted by @Jeff Lamothe:
Congratulations on your first acquisition @Brandon Rush. Glad to see that you got your first multi-family.
Thank you sir!
Originally posted by @Ryan Wilkinson:
Congrats on the deal Brandon. I'm currently on the hunt for my first multi I'll be house hacking-New Britain is one of the main towns I'm targeting as well!
Good luck Ryan. Its are great way to go and you won't regret it.