All Forum Posts by: Kelli Huang

Investment Info:

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

Purchase price: $520,000
Cash invested: $130,000

Rents $890-1050.
still stabilizing rents.

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

I have always wanted a quadplex.

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

My agent that I was looking for a owner-occupied single family, brought it to me. I never purchased that single family and bought this quad as an investment instead.

How did you finance this deal?

30% down conventional. interest rate 4%. No escrow.

How did you add value to the deal?

Move-in ready. No work needed. Evicted a tenant first month of closing due to the seller stuck a non-qualified tenant in there right before closing.

What was the outcome?

$3850 rent. $1860 PI. $450 TI. $385 PM. $150 utility. $385 CapEx + Vacancy.

NET= $620 a month.

Lessons learned? Challenges?

Did not get estoppel letters from tenants and seller, causing me not able to evict the non-paying tenant via court.
Luckily that tenant left on her own.

Difficult seller. Need a stronger agent next time.

@James Frye

Hi James. I am relocating to Sumter and looking to connect with local onvestors. Are you still in the area?

A warzone to me is Joseph E boon BLVD. I have seen some housed there and I was scared for my life! No dissing people that invest there, all bad areas need people willing to make them better. 

Like Tony said, a lot of Jonesboro is not a war zone, I don't know which parts are. Bad schools can be opportunities. There are a lot of development in Jonesboro now that I actually would like to keep quite to myself because it will be hot in a few years. The big church group there is trying to rebuild the whole place. Also, there will be a newly renovated water park, new transit system, and more. Just look at the old downtown Jonesboro, Figtree Cafe is one of their projects. If you have the chance stop by there, you'll see how nice it is. 

 Joseph, 

I have pm'd you with my PM's info!

 You are correct. I just checked I received the $0.5 for 6 days of investing. Thank you for reminding me. 

I invested $600 recently and received my first pay of $0.50 :( 

1% return?

I have been searching for this company that I found on Craiglist that is in Atlanta. They advertise that they offer 10-20% return on investors' money for flips they do. The minimum amount is $2,000 to invest in a 6-month term. You can invest with a credit card because it "protects the investor" in case if anything happens to the investment. 

6 month investment for 10% return sounds great. They have a website and have many videos on youtube for their flips and they are willing to answer my questions. But I can not find much other information, good or bad, on them. 

I really want to give it a try since I have a 0% intro APR credit card. But does this sound too good to be a scam?

Yes there are affordable condo/townhouse in these areas, but some comes with high monthly maintenance/HOA fee plus subletting restrictions. Make sure to ask the complex management about them.

For me, finding a 2-4 unit that's FHA eligible would be one of the best way to go.

I haven't invested inside of the perimeter but I am looking for deals myself. 

@Chauncey Glenn

The locations you listed are great and very desirable but will be more expensive to get into. You might have to consider a tear down or something that requires extensive repairs/renovation.