Our first purchase was a BRRR

[Toni Willems Van Dijk]

Investment Info:

Small multi-family (2-4 units) other investment.

Purchase price: $155,700
Cash invested: $31,140

This was our first purchase. We bought from a local wholesaler with a loan at the credit union. We put $15,000 into repairs and updates, and refinanced. Appraised for $225,000 on the refi, we pulled $40k out for a down payment on another duplex. We have 25% equity in this duplex and it cash flows $325/month after PITI.

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

Portfolio growth

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

Networking with local investors. Standard wholesale offer, did offer $5k more than asking.

How did you finance this deal?

20% down mortgage at credit union

How did you add value to the deal?

rehab, rent, refinance

What was the outcome?

Refi to pull out enough for a down payment on another duplex.

Lessons learned? Challenges?

Needed more work than we expected after one tenant moved out.