South Euclid Triplex

4 Replies

Investment Info:

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

Purchase price: $100,000
Cash invested: $40,000

3500 sqft Triplex in the South Euclid Area.

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

Strong cash flow in a good neighborhood.

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

Realtor and used the home inspection as leverage.

How did you finance this deal?

Cash purchase with refinance after rehab is complete.

How did you add value to the deal?

Updated flooring, paint, bathroom, light fixtures, etc.

What was the outcome?

Still rehabbing the property

Lessons learned? Challenges?

Rehab always costs more than you think.

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

Yes.

Congrats on the purchase! Looks like a solid property in a solid location. If I may make a suggestion, you should try to contest the assessed value with Cuyahoga County. You'll likely be able to knock a few bucks off of your tax bill. The county has it valued currently at $105.8K... an adjustment downward will cumulatively save you well over $1K over the next few years. You can file the complaint online for free in early 2020, and you don't need to show up in person for the hearing if you have a well-documented case for lowering the value. Feel free to shoot me a private message if you'd like advice on how to navigate it.

Thank you @TristanColborg. I am a newbie investor with $10K just sitting in the bank. (Just started about a week ago) and I settled in a market that is away from mine. I live near and work in Denver so I decided to look in Ohio. Your break down gives me idea of my very next step.

Originally posted by @Tom Knodt :

That looks like a solid deal, for sure!  Thanks for sharing, Tristan.  Did you get any forecasts on rent rates in this area?   

 Yes I got estimates from both my agent and my PM company. Now we will see if we get those estimates. Lol

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