Second Investment Property

[Kyle Hoppman]

Investment Info:

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

Purchase price: $89,500
Cash invested: $22,375

Purchased this duplex in Platteville, Wi with a 25% down payment. Bought the property for about $8,500 less than what the asking price was and the property appraised for $105,000. The estimated monthly cashflow is approximately $350 which is 17% cash on cash ROI.

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

My business partner and I didn't have a ton of cash sitting around for a 25% down payment. Between the two of us, and our realtor, we searched and toured properties for months until we found this one. This property was in our purchase price range that we could afford a 25% down payment.

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

This deal was found by our realtor. We negotiated the price several times before settling on a purchase price that was $1,500 more than our initial offer.

How did you finance this deal?

The down payment was financed between my business partner and I, as well as a Credit Union.