Investment Info:
Small multi-family (2-4 units) buy & hold investment.
Purchase price: $245,000
Cash invested: $74,000
The 2 bedroom will be a long-term rental and the one bedroom will be a medium term rental.
What made you interested in investing in this type of deal?
I wanted to try a medium term rental, and this duplex gives me the opportunity to still have most of it paid for with the long-term unit rent while I experiment with the other unit as a MTR. This was also located in the neighborhood I was interested in and have been monitoring for months.
How did you find this deal and how did you negotiate it?
My agent found it on the MLS; I made an offer about 15k lower than it was listed for and we got it under contract. It was a bankruptcy so we knew it would be a long wait, but I felt it would be worth it because small multi-family units were so hard to come by, and because it was going to be perfect for my strategy.
How did you finance this deal?
I wanted to do a DSCR so that I could buy it under my LLC, but with rates so high, I went with a conventional loan, 25% down.
How did you add value to the deal?
We are fixing the sewer and cleaning up the basement. Besides that, it's pretty much good to go!
What was the outcome?
TBA
Lessons learned? Challenges?
TBA
