All Forum Posts by: Matthew Matulis

Investment Info:

Single-family residence buy & hold investment.

Purchase price: $105,500
Cash invested: $5,000

BRRRR, with little to no money down.

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

Through marketing efforts I found a motivated seller looking to cash out.

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

Found this deal through a direct mailer and used my agent to negotiate

How did you finance this deal?

Hard Money to finance the down payment and value add for 6 months, and then Cash Out refinanced into a conventional loan

How did you add value to the deal?

Painted, new flooring, and added a couple of piers to the foundation.

What was the outcome?

Purchase Price $105,500 + $25,000 in the renovation. Appraised for 179K and pulled out 75% which was 134K. We took that and paid off the Hard Money plus interest and fees from the refinance to only be in the deal for under $5K in.

Now I have a cash-flowing property for under $5,000 invested.

Lessons learned? Challenges?

Conventional loans require you own the property for 6 months before refinancing. I was ill-advised and thought I could do it earlier, and that delay cost me a little more in holding cost and a worse interest rate on the conventional loan

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

Michael Matulis in Columbia SC

Investment Info:

Single-family residence buy & hold investment.

Purchase price: $105,500
Cash invested: $5,000

BRRR

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

Through marketing efforts I found a motivated seller looking to cash out.

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

Found this deal through a direct mailer and used my agent to negotiate

How did you finance this deal?

Hard Money to finance the down payment and value add for 6 months, and then Cash Out refinanced into a conventional loan

How did you add value to the deal?

Painted, new flooring, and added a couple of piers to the foundation.

What was the outcome?

Purchase Price $105,500 + $25,000 in the renovation. Appraised for 179K and pulled out 75% which was 134K. We took that and paid off the Hard Money plus interest and fees from the refinance to only be in the deal for under $5K in.

Now I have a cash-flowing property for under $5,000 invested.

Lessons learned? Challenges?

Conventional loans require you own the property for 6 months before refinancing. I was ill-advised and thought I could do it earlier, and that delay cost me a little more in holding cost and a worse interest rate on the conventional loan

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

Michael Matulis in Columbia SC

Investment Info:

Single-family residence buy & hold investment.

Purchase price: $64,000
Cash invested: $12,000

This 4-bedroom home needed some of the bigger investments, to begin with (Roof and A/C - which we ended up getting some credits for) and internal touch-ups but was a great deal at the time and something I was willing to put in initially for a strong cash-flowing property.

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

I was working for an investment firm at the time and decided that this was the right deal to take the first step.

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

This was on the market and I found it on Realtor.com, and because I am a remote landlord, I used an Agent to negotiate the deal.

How did you finance this deal?

Conventional

How did you add value to the deal?

Roof, A/C, and Rent Ready Touch Ups

What was the outcome?

The deal has been cash-flowing well and it's value has grown over 100%

Lessons learned? Challenges?

While this first deal was a rollercoaster the biggest lesson was the importance of just taking the first step and learning by doing. I had prepped and studied for so long trying to be informed, and while I encourage that, you can be stuck in this phase and never start.

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

Michael Matulis in Columbia SC

Investment Info:

Single-family residence buy & hold investment.

Purchase price: $90,000
Cash invested: $25,000

This deal needed to be completely redone inside but had great bones and potential. I used a construction loan to finance the purchase and 60K worth of work and refinanced into a conventional mortgage.

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

It had great potential (a really strong rental market) but it just needed work to get rent ready.

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

I found it online and used my Realtor to negotiate it

How did you finance this deal?

Construction loan, transitioned to conventional.

How did you add value to the deal?

New Kitchen, Flooring, Paint, and Removed a large wall to create an open floor plan,

What was the outcome?

A cash-flowing property with relatively low money down

Lessons learned? Challenges?

If contractors say 3 months expect for 6 :), and who you work with to finance your deal is vitally important.

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

Michael Matulis in Columbia SC