Baytown, TX Triplex closed, decent cashflow

1 Reply

Investment Info:

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

Purchase price: $179,000
Cash invested: $46,000

Just adding my tri-plex to my investment list. It's 2 apartments and a SFH.

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

The cashflow was appealing on the deal. Currently all units are renting for $2900.

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

I found the deal on Zillow listed FSBO.

How did you finance this deal?

Hard money financing.

How did you add value to the deal?

Remodeled an apartment and the SFH to make ready.

What was the outcome?

The property costs $1650/mo to maintain and rents total $2900 currently with the ability to raise rents to $3050 total in the near future.

Lessons learned? Challenges?

Long term tenant thinks she runs the property, so needed to do some level setting.

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

N/A

Congrats, Jeff! I've seen a couple of these oddball SMF in/around Baytown pop up from time to time and have always wondered about the tenants that might inhabit a $600-900/mo unit. Cash flow looks great! Probably too early to tell, but any thoughts on the types of tenants for these properties?

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