Quadplex BRRRR in York, March 2019
Investment Info:
Small multi-family (2-4 units) buy & hold investment in York.
Purchase price: $85,000
Cash invested: $15,000
Partial BRRRR:
Purchased for $85,000 and spent $15,000 on repairs/renovations. Building needed a new roof and extensive pointing of the brickwork. Interior units were all occupied so just light repair work was performed. After 5 months the property was refinanced at an appraised value of $125,000. Cash flow is around $900 per month.
What made you interested in investing in this type of deal?
Opportunity to add value to an occupied building with the goal of limited capital invested post-refinance.
How did you find this deal and how did you negotiate it?
MLS. Negotiated via agreement of sale/counter offers.
How did you finance this deal?
Hard Money Lender
How did you add value to the deal?
Renovations
What was the outcome?
Very limited cash left in deal!
Lessons learned? Challenges?
Repairs in occupied units take time. Tenants can create quite the punch list to throw in front of contractors so be very clear about what is in scope!
