All Forum Posts by: Cassy Trask

Investment Info:

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

Purchase price: $220,000
Cash invested: $5,000

Purchased a mostly turn-key property with a main house and an In-Law detached suite. Able to rent both MTR. Input new flooring, new HVACs and had it at a total value of $18k. Had it reappraised 2 months later. It appraised for $70k more. I was able to refi (DSCR - 4.5% - 80% LTV) out all but $5k of my own money. It is now 2.5 years later and we have had around 92% occupancy and average cashflow of $900.00.

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

Seeking my first small multi-family and had cash to purchase.

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

This was found on the MLS. In a hot market I was one of over 20 bids. I bid cash and waived my inspection and was able to beat out bids that were $15k over mine.

How did you finance this deal?

I paid cash initially to win the bid, but then cash refi out 2 months later.

How did you add value to the deal?

We didn't have to do much on this, so this one will appreciate over the long run due to the growth in the area. We did however, put in brand new HVAC to both units, new flooring in the bigger unit and then furnished them nicely to rent MTR. n This location is 2 miles from one of the largest hospitals in Knoxville and only 3 miles to the college and downtown.

What was the outcome?

I was able to refinance out all my own cash input, other than $5k at initial refi. We know cash flow an average of $900/mo.

Lessons learned? Challenges?

I don't regret waiving my inspection (or ability to negotiate on that), but I probably would have sent a few trades through. I had some minor water leaks and some subfloor issues that overall did not amount to much, but I had to have an vacancy to fix later.

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

I acted as my own agent.

 I am still new to this topic, and will lean on my attorney to guide me, but I read that:

"The ADA does not require service dogs to be professionally trained. Individuals with disabilities have the right to train a service dog themselves and are not required to use a professional service dog trainer or training program."

www.akc.org/expert-advice/training/service-dog-training-101/

This leads me to believe that not all Service Animals will be "extremely well trained".  It is the way of the world now, that some will ruin it for the rest. Sad. Most who need a service animal have every right and I support that. However, those that abuse it, infuriate me.

We now have 4 DSCR's and 1 primary residence loan. Our 1st DSCR was 70% LTV rest have been 75% or even 80% LTV. And 1:1 ratio on most, one was at 1.25. And no PPP on the 2 new ones we just got, hoping to capture lower interest rates in the near future and will refi. We have to do a no docs loan as we don't have enough personal income to qualify otherwise.

Hi. I am Cassy Trask-Windsor. My husband and I own 6 MTR rentals in Knoxville, and so far 4 in Savannah. As we are almost empty-nesters we are moving to Savannah to grow our portfolio in the warmer weather and closer to the ocean. We plan to keep most of our portfolio in Knoxville. We are looking to meet all necessary resources to thrive in Savannah, the way we do in Knoxville. We need all the way from lawn care, pest treatment to plumbers and electricians. We do have a wonderful co-host, realtor, CPA and lawyer already working with us! NOTE: We are selling 1, maybe 2 properties in Knoxville and it seems unnerving for me as of right now to manage them (with a co-host) from so far away. If you are after a turn-key MTR in the hot market of Knoxville (97% occupancy), let me know.

Investment Info:

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

Purchase price: $160,000
Cash invested: $265000

This was a large SFH with all the bones, power and area to be so much more. I turned it into a triplex.

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

I moved to Knoxville and was looking for a house hack. I preferred a duplex, but the market was too hot for me to compete so I bought a big house and converted it to multiple units so I can live in one and rent the rest.

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

I found a realtor on Biggerpockets. He is an investor himself and was great help finding me a property I could hack. Due to market conditions, we had to come in at asking price. Since I was buying all cash I could waive my appraisal, however did do my inspection.

How did you finance this deal?

I paid all cash for the purchase and renovations. I then did a DSCR cash refi out.

How did you add value to the deal?

Due to location, I turned a large SFH into a triplex. It was already perfectly set up for it with almost all water hook-ups in place already (wet bars, previous basement kitchens, etc.) and I mainly just had to remodel and put a few exterior doors in place to separate areas. The home had phenomenal parking already and 3 - 200 amp panels to it. It was meant to be more!

What was the outcome?

Overall, I put $265k into the purchase and renovation (cash) and then did a DSCR refi at 70% LTV (my first time with this bank) at 4.25%. I gained an appraisal of $475k and thus was given all my cash invested back, plus some. I own this own now for almost 4 years and it grosses almost $6k/mo. with around $2000-$2500 in cash flow.

Lessons learned? Challenges?

Have people inspect other contractors work if you cannot (I did not have a GC). I was taken for $7k on a bad roof install that had to immediately be ripped off and replaced.

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

I had an agent who helped me find the deal. I had a great lender who was able to brainstorm options with me being newly self employed to get me a DSCR loan. Sonya West with Citizen Bank in Knoxville, TN is amazing!

Investment Info:

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

Purchase price: $160,000
Cash invested: $265000

Purchased this fixer upper that needed new roof, windows, siding, HVAC, updated electrical panel, all new decks and a big update inside. By doing a lot of the minor demo and work myself, I kept the costs down to $85k for remodel. Due to the timing (COVID) it took 9 months to do this 3400 sq ft home into a triplex.

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

I moved to Knoxville and was looking for a house hack. I preferred a duplex, but the market was too hot for me to compete so I bought a big house and converted it to multiple units so I can live in one and rent the rest.

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

I found a realtor on Biggerpockets. He is an investor himself and was great help finding me a property I could hack. Due to market conditions, we had to come in at asking price. Since I was buying all cash I could waive my appraisal, however did do my inspection.

How did you finance this deal?

I paid all cash for the purchase and renovations. I then did a DSCR cash refi out.

How did you add value to the deal?

Due to location, I turned a large SFH into a triplex. It was already perfectly set up for it with almost all water hook-ups in place already (wet bars, previous basement kitchens, etc.) and I mainly just had to remodel and put a few exterior doors in place to separate areas. The home had phenomenal parking already and 3 - 200 amp panels to it. It was meant to be more!

What was the outcome?

Overall, I put $265k into the purchase and renovation (cash) and then did a DSCR refi at 70% LTV (my first time with this bank) at 4.25%. I gained an appraisal of $475k and thus was given all my cash invested back, plus some. I own this own now for almost 4 years and it grosses almost $6k/mo. with around $2000-$2500 in cash flow.

Lessons learned? Challenges?

Have people inspect other contractors work if you cannot (I did not have a GC). I was taken for $7k on a bad roof install that had to immediately be ripped off and replaced.

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

I had an agent who helped me find the deal. I had a great lender who was able to brainstorm options with me being newly self employed to get me a DSCR loan. Sonya West with Citizen Bank in Knoxville, TN is amazing!