All Forum Posts by: Victor Herman

Investment Info:

Single-family residence buy & hold investment in Lancaster.

Purchase price: $30,000
Cash invested: $6,000

4 bedroom 2 bath home

Investment Info:

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

Purchase price: $220,000
Cash invested: $50,000

As one of my tenants is leaving me at the end of this month I will convert this 1 bedroom into a short-midterm term rental. I have started getting the shopping list together. I will clean the unit up and stage it. I will be able to double the rent immediately once it is furnished and utilities are switched over.

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

Initially a long term investment, now I'm going to pivot a little.

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

MLS. Good offer and a big down payment with a good credit score.

How did you finance this deal?

Conventional loan

How did you add value to the deal?

A few minor upgrades, and appliances were all I needed and furnished the unit.

What was the outcome?

to be determined

Lessons learned? Challenges?

to be determined

Investment Info:

Single-family residence fix & flip investment.

Purchase price: $60,000
Cash invested: $1,200
Sale price: $60,000

The very first home I ever bought was a foreclosure. Boy was it a turd. It was my turd. I polished it up with my own elbow grease. When I bought this from the bank they gave me a check for $1200. Bingo. Grinding it for about 3 years I built equity and I was able to pull out $6,000 to use as a down payment for my first rental. It all started with my first turd.

I did sell in November 2019 for asking price in 1 day.

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

Bank owned foreclosure

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

Friend found on bank website

How did you finance this deal?

Bank financed

How did you add value to the deal?

Flipped over 7 years. Lol

What was the outcome?

Able to sell after appreciation and refinanced twice to buy first rental and a nicer primary home.

Lessons learned? Challenges?

Pay for a professional to do the work as soon as you can afford to.

Investment Info:

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

Purchase price: $125,000
Cash invested: $125,000

I found this duplex on the MLS and I was able to make a quick all cash offer of $125,000. One unit was rented under market.the the was vacant. I got to work on the vacant unit and non renewed the tenant that didn't want to renew on a new lease with increased rent. I was able to change both side from 2 bedrooms to 3 bedrooms and increased the rents incredibly.

I did refinance to get my cash back out. Although the appraisal came in lower than I wanted its all working out.

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

Covid scared everyone. Not me

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

MLS, mad a quick cash offer

How did you finance this deal?

cash to start. refinanced once the property was seasoned.

How did you add value to the deal?

I had the interior and exterior painted and all new windows.

What was the outcome?

great cash flow machine.

Lessons learned? Challenges?

vendors vendors vendors. keep a good list and treat them well. hopefully they will treat you well.

Investment Info:

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

Purchase price: $220,000
Cash invested: $45,000

I found this 3 unit on the MLS. The seller had just finished flipping the units. All 3 units have new flooring paint and appliances. The front is a 3 bedroom 2 bath. In the back we have 2 one bedroom units. This was bought well into the pandemic and the sellers were happy to get me a discount.

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

Cash flow is our focus and this one is coming through very nice

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

Found on the MLS

How did you finance this deal?

FHA

How did you add value to the deal?

I had great tenants screened and placed stabilizing the units. I did inherit 2 tenants in the 1 bedroom units.

What was the outcome?

Still owned today. 3 bedroom is rented near top of the market. One of the 1bedroom units is getting ready to vacated and I will turn this into my first mid-term rental.

Lessons learned? Challenges?

Screen your own tenants. Non renew unscreened tenants asap.

Investment Info:

Single-family residence buy & hold investment.

Purchase price: $55,000
Cash invested: $11,000

This 3 bedroom 1 bath single family home at the very onset of the pandemic. Everyone was scared. The perfect opportunity for me. Rents for $900 a month immediately. Cash flow of 350 a month. The seller had just put new floors bathroom in the home. I invested $600 in painting the kitchen cabinets.

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

The perfect timing for me and the seller needed out.

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

Found on MLS and picked up the listing agent.

How did you finance this deal?

FHA

How did you add value to the deal?

Finished the kitchen and a few other blemishes and found a great tenant still in unit.

What was the outcome?

still rented to happy tenants.

Lessons learned? Challenges?

The location is not great but it is turning around

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

When you find the deal, get the deal.

Investment Info:

Single-family residence buy & hold investment.

Purchase price: $30,000
Cash invested: $6,000

4 bedroom 2 bath home. The very definition of lipstick and mascara. I replace the carpet and painted the walls. Rented immediately for $800.00

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

Opportunity for cash flow.

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

I looked at over 100 to find this one on the MLS. It was HUD owned. I only had $6,000 for a down payment that I pulled from my primary home. I offered $30,000. They declined and my agent asked if I wanted to bump my offer. I couldn't increase the offer I only had $6,000. Four hours later they called back and said they would take the offer.

How did you finance this deal?

FHA

How did you add value to the deal?

Carpet, paint, appliances, curb appeal of about $6,000 I put on the credit card.

What was the outcome?

I still own this home. I recently renovated the kitchen carpet appliances. I increased the the rent to $1,575.00 and pulled out $85,000 as a tax free loan and the property cashflows $400 per month.

Lessons learned? Challenges?

Grind it out and the money will show up.