All Forum Posts by: Josh Williams

Investment Info:

Single-family residence fix & flip investment.

Purchase price: $35,000
Cash invested: $20,000
Sale price: $71,000

I bought this house to live in when i was 22 because my lease was almost up on my apartment. It ended up taking a little longer to close and I ended up closing the day my lease ran out, so I moved all my stuff (which wasn't very much at the time) into this house which had no heat or hot water and it was October in upstate NY. Luckily I went to college for HVAC and Plumbing so I quickly installed a new boiler and baseboard, hot water heater, and all new plumbing in the whole house. Then kind of went room by room and fixed it up after work and weekends over the course of 4.5 years while I lived there for nothing because the cash flow from my 3 family paid the mortgage.

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

It was cheap and I didn't have a lot of money

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

It was across the street from my friends house and we were sitting on the porch one day enjoying a frosty beer and it was just sitting there looking at me asking for me to buy it. This house was owned by siblings and it sat vacant for a couple years so I was able to pick it up pretty cheap because it needed a bunch of work.

How did you finance this deal?

Went back to my trusty friends at the bank and they gave me more money. 30 year FHA fixed Int. Rate Loan

How did you add value to the deal?

Sweat Equity on top of Sweat Equity

What was the outcome?

House came out nice and sold it to a lovely older couple who still live there today

Lessons learned? Challenges?

Don't bite off more than you can chew
Don't be afraid to ask for help
Pizza and Beer is a great payment method

Investment Info:

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

Purchase price: $77,000
Cash invested: $23,000
Sale price: $92,000

3 unit house with a 2 bedroom 1 bath apartment on each floor. Bought with rents below market and invested some money to make minor improvements while raising rents over time to where they should be. I was Cashflowing $700/month for 5+ years before deciding to sell and roll that money into 1 or 2 additional houses. I walked away with $39k.

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

When I first started out i was obsessed with 3 unit houses for some reason

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

This was before I was an agent, I was 23 and working as an HVAC repairman and was fixing a furnace for this woman who happened to be a real estate agent and we just got talking and the next thing I know I'm buying I'm a house. Turns out the owners were moving to Puerto Rico for work and I got the house for a good price.

How did you finance this deal?

Not knowing any other way at the time I went to the bank and asked them If i could repay them for the next 30 years and to my surprise they gave me the money.

How did you add value to the deal?

Rents were way below market, and some deferred maintenance repairs

What was the outcome?

I cashflowed $700/month for 5+ years and walked away from closing with $39k

Lessons learned? Challenges?

Vacancies suck, keep good tenants!