Bought a fourplex with less money out of pocket
Investment Info:
Small multi-family (2-4 units) buy & hold investment.
Purchase price: $499,900
Cash invested: $5,000 (+ rehab costs)
4 unit property
All units 2 bed / 1 bath
Strategy: BRRR / Long Term Hold
What made you interested in investing in this type of deal?
Wanted to utilize different loan types and jump into small multifamily
How did you find this deal and how did you negotiate it?
MLS - used an agent
How did you finance this deal?
OPM to buy (5k from me, strategic partner with remainder)
My money / cashflow to rehab (total rehab costs so far - $16,000 paid for by mix of my cash & rents collected as we placed tenants)
How did you add value to the deal?
Bought with 3 of 4 rented. Total collected monthly rent 3 units x $500 = $1500.
The empty unit was already renovated. Removed 3 tenants strategically to not bleed cash & renovated all 3 units. Now collecting $1,143, $1,200, $1,216, & $1,216
What was the outcome?
Depending on rates - will refi & pull cash out now or wait, but will be a long-term hold.