Prospect Park Duplex

[Dan Powers]

Investment Info:

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

Purchase price: $150,000
Cash invested: $80,000

This big beautiful detached home in Prospect Park was an absolute dunk for any investor. The property needs a complete rehab, all interior cosmetics + mechanicals. Great days on market, great school district (Interboro) my investor loved this house. We are currently configured as a duplex (1-2/1 unit and 1-3/1 unit), with the potential market rent totaling $3600, it far beats the 1% rule by a mile.

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

What made my investor interested in this deal mostly was the area. We are located in Interboro school district which is one of the best in Delaware County. On top of that due to the condition of the house which was in poor condition made the entry price for this type of property a steal.

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

This deal was sold as a 24 hr Highest + Best, and was sourced through New Western Acqusitions.

How did you finance this deal?

This deal was purchased with cash

How did you add value to the deal?

The value being added to this deal was extensive, sold at 150k, with an ARV of 375k. This property is going to need a full gut rehab, with all cosmetic items (kitchens, baths, paint, carpet) and all mechanical work as well (plumbing, electric, and HVAC), to both units.

What was the outcome?

The outcome is going to be a fantastic duplex, bringing in great rent, in an area that will only continue to appreciate.

Lessons learned? Challenges?

The only challenge we experienced on this project was on the initial walkthrough, the work needed was very extensive, given that we had to agree on a bid my buyer wanted to submit that still made the deal work for him given the high rehab price.

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

Dan Powers - New Western Acquisitions