First Rental Property

[Michael Alford]

Investment Info:

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

Purchase price: $85,000
Cash invested: $25,000

This was a single family home that has been converted into a 2-family. Unit #1 is a 1bd/1bth studio. Unit #2 is 2bd/2bth (first floor).

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

My wife and I have been interested in beginning our rental portfolio before we turn 30. We had been passively searching for a property with positive cash flow and long terms investment potential. We are currently selling our first rehab property and plan to continue expanding our portfolio this year.

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

This was an off market property. It had been listed in the MLS a year prior, but it had expired. I contacted the seller directly and agreed on a purchase price. We inherited one tenant and found a second tenant 2 months after purchasing.

Did you work with any real estate professionals (agents, lenders, etc.) that you'd recommend to others?

I am a real estate agent and have worked with many investors throughout my career. While I spend the large majority of my time assisting residential buyers/sellers, I do enjoy finding properties for investors. The business of real estate investing has always been very intriguing to me.