Small multi-family (2-4 units) buy & hold investment in Sheboygan.
Purchase price: $62,000
Cash invested: $25,000
Bought this property off the MLS for $62000. It had a stable tenant in the downstairs and was demo'd on the upstairs. There was major plumbing/leaking issues, that I think the previous investors didn't know how to fix. We updated the full upstairs and put in above market standards fixtures and finishes to increase rent value. We then refi'd it for $88,000.
What made you interested in investing in this type of deal?
We have been buying them in auction and they have been taking 4-9 months to rehab. I liked that this was a quicker turn around.
How did you find this deal and how did you negotiate it?
MLS through our agent.
How did you finance this deal?
How did you add value to the deal?
Improved all cosmetics in the unit and brought the building to code.
What was the outcome?
We BRRR'd and received 100% cash back for the first time.
Lessons learned? Challenges?
I like the quick turn around of a property that isn't a complete rehab. I think it will speed up our investing.
Congrats on the successful BRRR deal @Scott Van Straten ! I'm currently finishing up my first BRRR deal and it is taking longer than expected. Should hopefully have everything completed within the next 4 weeks though.
Scott, how much was rehab? Thanks! Greg
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