First Out Of State Duplex Turnkey Investment

[Nick Shri]

Investment Info: Duplex buy & hold investment in Cleveland.

Purchase price: $130,000
Cash invested: $37,750 (incl Closing Costs)
CoC: 15%

1st out of state Turnkey Rental Resale Property.

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

I wanted to resume Real Estate investment, I was out-priced in my locale so explored out of state investing. Wanting to remain passive in my journey so turnkey rentals seemed an appropriate route. While I was looking for Turnkey, this property was already fixed up with Tenants living there, and the numbers worked well.

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

Norada Real Estate. 

How did you finance this deal?

Conventional Financing

How did you add value to the deal?

Didn't add anything

What was the outcome?

Still to find out

Lessons learned? Challenges?

This property was offered by another offerer (Seller > Offerer > Norada > Me). In terms of lessons learned - stay on top of things. Don't assume Norada or the Offerer will do the due diligence, nor they would stay on top of items to be taken care of after the inspection. I had to continuously call/text. Proforma was off by a very small number once I got quotes from Insurance. Also, the offerer wanted me to use their preferred lender who couldn't approve me even when I had a pre-approval for significantly higher amount from another lender, we wasted 2 weeks with the offerer's preferred lender. I ended pushing the closing date (thankfully not too far out).