Investment Info:
Single-family residence buy & hold investment in Oakland.
Purchase price: $532,500
Cash invested: $75,000
I was 5 months pregnant looking for a duplex in an insane sellers market when I stumbled upon this gem. It's a split level sf, 2/1 each up and down permitted with separate kitchen and w/d.
What made you interested in investing in this type of deal?
I had to short sell my house in San Jose in 2008 and swore I would never put myself in a situation bleeding out that much without rental income again.
How did you find this deal and how did you negotiate it?
Redfin along with the guidance of my amazing re agent.
How did you finance this deal?
savings
How did you add value to the deal?
Tore down the wall between the dining room and kitchen, new appliances and flooring.
What was the outcome?
I was living in the upstairs unit while it was being renovated and rented out the downstairs unit. After 2 and a half years I moved into the downstairs unit to get almost an additional 1k in rents. The house recently appraised for $950k and I only pay $800/mo to live in one of the most expensive cities in the US.
Lessons learned? Challenges?
I was very nervous being pregnant with the risk of exposure to asbestos while I lived in the unit I was renovated but took extra measures to be safe. I honestly think it's the same amount of work to move from the upstairs to the downstairs unit as it is to move across to the other side of town.
Did you work with any real estate professionals (agents, lenders, etc.) that you'd recommend to others?
Billy Yeh my realtor, I highly recommend him. He is an investor himself and gave me endless recommendations and advice and still does to this day.
Carlos Delafuente with Pinnacle Mortgage is a personal friend and goes above and beyond to make the number work.
