All Forum Posts by: Andres Ospina

Investment Info:

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

Purchase price: $400,000
Cash invested: $200,000

Bought this fixer upper 2 family house with 2 bed 2 bath and converted it to a 4 bedroom 2.5 bathroom with finished basement. Was able to cash out refinance and keep it as a long term rental.

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

It was located out side of NYC with good rental potential.

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

An agent brought it to me. I agreed to take out an under ground storage tank in exchange for a lower price.

How did you finance this deal?

Hard money and the. Refinanced into long term debt.

How did you add value to the deal?

Converted it from a 2 bedroom 2 fb to a 4 bedroom 2.5 bath with finished basement.

What was the outcome?

Pulled out all my money invested and still cash flowing.

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

Lenders

FOLLOW THE K.I.S.S method plan (keep it simple and stupid).

Find and hire a real estate agent that understands multiple investment strategies
Get pre-approved - see what options you have
based on your pre approved price - identify an area you want to invest in that you can afford
Leverage the agent to : bring you properties, assist in pulling comparables (you should know your comparables of the area you are looking in, this is for a second opinion) review and confirm your estimated rental income, assist you with acquiring the property, and have a list of resources you could use; contractors etc.

Looks at properties and make offers that work for YOU.

Also,

Do not pull your IRA money out, leave it there and let it grow - leverage this to meet your lenders reserve requirements.

Buy Multi family to hold

Buy single family to fix and flip and produce more income to buy more multi families.

I can recommend looking at deals in different ways, finding different ways to find deals, and put the work into finding the deals, and build the right relationships.

I have bought 5 properties in the last 12 months and they all worked.

I have been using different strategies to get the deal to work. Other words I find a way to make the deal work.

For example,
I just bought a property with hard money to buy it, expand on it, and rehab it. Was able to maximize the rental income on it through the upgrades and then I did a Cash-out Refinance DSCR to keep the property and it cash flows. I have $0 money down... A PERFECT BRRRR. I found the property on the MLS that was on the market for 45 days + only because nobody took the time to analyze the potential and no one was willing to listen to what the seller needed.

 The purchase of the property can essentially be what ever way you can acquire the property, cash : hard money ; traditional financing. You just have to increase the equity enough that the new loan will cover your previous acquisition cost+ expenses.so you can get all or most of your money back out to go do it again.

Frankly,

I prefer to stay away from condos as an investment. It has a lot more risk associated with it in which you have no control of and can turn a good purchase into a terrible one. This explains why lending on condos can be so tight and challenging at times.

While it may be hard to get your hands on a copy of the by laws. It’s relatively easy for an agent to find out the rental restrictions if there are any.

If you are interested in investing you can always message me on here or text me 2012949968

Hi Ashley,

We only work exclusively with our buyers. We bring enough value to a buyer that they shouldn’t feel the need to work with multiple agents but if for a reason the buyer does not want to exclusively work with us. We are completely okay with that as long as you tell us up front, just don’t expect to hear about all the great opportunities ahead of our exclusive buyers.

I recommend look for agents that understand your investment strategy and even better yet that they do, or have invested. Also an agent that has the resources you will need to invest successfully. 

Agent should do most of the searching but not all, as you may have interest on something that does not fully match the criteria you gave your agent.

hope this helps understand how “professional” agents work!

thanks Andrew, yea I actually run my own meet up.
Will just want to connect with more people that want to house hack.

looking to connect with investors looking for house hacking opportunities in North Jersey area.
Want to brain storm opportunities we are seeing in our market that a lot of people are over looking!

 Hey Alex

Victoria

+1 (201) 814-6872

can help

Investment Info:

Small multi-family (2-4 units) fix & flip investment in Lyndhurst.

Purchase price: $350,000
Cash invested: $200,000
Sale price: $730,000

Purchased this legal 2 unit multi family home.
Doing a complete gut rehab , adding bedrooms , square footage.
Will either sell it or BRRR and keep it long term.

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

I had several options out of the deal.
Was intending to BRRR. But got a phenomenal offer.

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

A local agent brought it to me.
I offered a quick closing to assist the owner in avoiding foreclosure and offered to buy it as is with the tenants belongings.

How did you finance this deal?

Hard londh

How did you add value to the deal?

Added 2 bedrooms, renovated it completely and changed the layout.

What was the outcome?

Sold it for a nice profit.

Lessons learned? Challenges?

Didn’t notice the main water line was lead and had to replace it. Now I won’t over look water lines.

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

My real estate team assisted in the sale.