Purchased 2 homes on one lot

[Yusuf Smith]

Investment Info:

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

This is a buy and hold 2 homes on 1 lot. One unit is tenant occupied and we are leasing up the second home.

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

The potential cashflow on the deal was very appealing. I invest primarily right now for cashflow.

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

This is a tough sellers market right now. With the help of an agent we found this deal My initial offer was accepted as the seller was motivated to sell.

How did you finance this deal?

25% down and conventional financing.

How did you add value to the deal?

Small repairs, correcting code violation issues with the city and working with the current tenant to get on time payment.

Lessons learned? Challenges?

Always double check and verify the sellers numbers. for example If the seller is presenting the rental income as say $1000 per month you as the buyer need to know if that includes any other costs. It may be that the rent is actually $600 and $400 of that is going to the water or electric bill. So very because this will drastically affect your cashflow.

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

Angelina Jones of metro brokers