My First Deal (Triplex Marysville, WA)

[John Leland Bailey Jr]

Investment Info:

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

Purchase price: $606,000
Cash invested: $10,000

My First Deal. Made every mistake imaginable, but at least I got started!

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

The Everett area will have an increase in military presence over the next couple of years. Rents should keep rising!

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

I used a local realtor.

How did you finance this deal?

The VA loan. I am currently in the process of re-financing into a conventional 30 year loan so I can use my VA loan to buy another property.

How did you add value to the deal?

I bought it below asking price and did a little live in flipping (replaced living room carpet with vinyl flooring, painted the living room). I also had my property manager update the appliances.

What was the outcome?

Waiting to get some new renters now, but the asking rent for the updated unit is noticeably higher than the other two units.

Lessons learned? Challenges?

DO NOT PAY FOR WATER OR TRASH. I was in such a hurry to get my first deal that I didn't look at the fine print. Use the MLS. It tells you right there what utilities you have to pay for.