Fixer-Upper Foreclosed Duplex

[Jefferson Simmons]

Investment Info:

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

Purchase price: $105,000

Purchased property via online auction as a bank foreclosure.

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

Average home price in the area is ~$200,000. Getting two units bought at $105,000 left a lot of meat on the bone for an extensive renovation that would still cash flow like crazy!

How did you finance this deal?

Partnership

How did you add value to the deal?

Top to bottom rehab on both units.

What was the outcome?

3 1/2 years later still holding it. Never had a vacancy and raised rent every year since I always have a waitlist.

Lessons learned? Challenges?

Spent too much money on the rehab. First major project and tried to make an HGTV home. Getting it bought right saved me in the end, however.

[Dmitriy Fomichenko]

@Jefferson Simmons this is awesome!