Updated over 3 years ago on . Most recent reply
Became emotionally attacthed to property.
Investment Info:
Small multi-family (2-4 units) buy & hold investment in Sacramento.
Purchase price: $480,000
Cash invested: $15,000
Sale price: $750,000
My wife and I purchased and house hacked our first duplex, we've moved out summer 2020 and we currently cash flow over $1000 a month after all expenses are paid. My wife and I recently sold this property, it was a great experience learning how to manage a duplex. Now we feel more comfortable purchasing and managing a small multi family property.
What made you interested in investing in this type of deal?
This was our first house hack. We purchased the property with a VA loan at a 4% interest. It was a good experience managing tenants that were a few yards away.
How did you find this deal and how did you negotiate it?
My wife found this deal on craigslist in winter 2018 from a house flipper. The couple flipping the house converted the garage into a two bed one bath unit with a garage.
How did you finance this deal?
We used a va loan, this allowed us to put 0 down and we received a great interest at the time. We refinanced for a lower interest rate 14 months later.
How did you add value to the deal?
We renovated the smaller unit by adding new windows and a fence separating both units.
What was the outcome?
We sold this property in summer 2022 for a great profit! We used the profit to purchase our current home.
Lessons learned? Challenges?
Always have reserves after the purchase of an investment property and vet your tenants well.
Did you work with any real estate professionals (agents, lenders, etc.) that you'd recommend to others?
Yes I did and I will add their information in the next few days with their permission.
