Property #1 Getting started

[Dustin Somers]

Investment Info:

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

Purchase price: $217,000
Cash invested: $62,000

Duplex Rental Property

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

I find the security of Multifamily appealing compared to single family residence.

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

I was informed of this potential opportunity through another investor and friend i the area, I was able get the purchase price down 35k through negotiations after a low appraisal came in

How did you finance this deal?

Traditional 20%/ 30 year

How did you add value to the deal?

Both tenants moved out within 6 moths of the purchase, we took both of these opportunities to paint, replace fixtures and upgrade / replace appliances.

What was the outcome?

Through these improvements we where able to raise the rent on each unit $100/M

Lessons learned? Challenges?

Manage cost on improvements to maximize cashflow