2nd investment property, zero own funds , and brrrrr project

[Jason Meade]

Investment Info:

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

Purchase price: $27,500
Cash invested: $18,000

it was a 4 unit thats was zoned as a 2, I split utilities and turned in back to a duplex. It now has 2 , 3 bed room units. It cash flows very well. This was my 1st brrrrr. Zero own funds invested.

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

better priced than 1st, way better cash flowing .

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

It was in a package deal a friend bought from an retiring investor . he bought 17 at one time. Ever one need major rehab. It sat for a year and he was no closer to getting started on the work. I got it for 27k

How did you finance this deal?

I borrowed cash from a 403b, bought it. Then refied it with a bank a few days later. I used the cash from the refi to rehab it . Then at the one year mark I reifed again and paid off the 403b and took a few k for me as a bounce .

How did you add value to the deal?

brought it all up to code, split utilities, rehabed alll interiors, destroyed a few shed on property that was falling down. and new mechanicals and plumbing.

What was the outcome?

great. would love a 1000 more just like it

Lessons learned? Challenges?

I rented a unit while other was being rehabed, and learned how to evic people, set up better screening.