First Buy & Hold Investment

[Nick Powell]

Investment Info:

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

Purchase price: $62,050
Cash invested: $500

This property is a duplex with 3 beds and 1 bath on one side and 2 beds 1 bath on the other. The greatest thing about this deal was that I actually made money at closing. I negotiated to wrap the closing costs into the purchase price so my lender was able to add that into the loan amount. On the other side I received the current tenants security deposits and the next months rent which was another wake up call to see just how powerful this business is.

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

I found this deal by stopping at a property which had a for sale by owner sign in the front yard. I ended up meeting the owner and he had multiple properties across town that he was trying to sell. The next day we met back up and visited multiple properties and one of them was this duplex in which I went on to purchase.

How did you finance this deal?

This deal was financed through a private lender.

What was the outcome?

I currently have both sides rented out for a total monthly income of $1025. After the bundle, vacancy, repairs, cap ex, etc. I am cash flowing just over $300 a month.