BRRRR is the BESTTTT

[Brett Merrill]

Investment Info:

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

Purchase price: $136,000

Here is a quick breakdown of my latest BRRRR! This is a 2-family 3bed/1bath for each unit.
Purchase price: $136,000
Down payment + CC: $29,200
Repair Cost: $71,000
Interest only at 4% for repair cost x 5 months: $1180
All utilities split
Top unit rented annually for $1500/month
Bottom unit rented annually 1450/month
Total rent $2950
All in for 101,380
Appraised at $337,000
Cash out refinance for $100,000
Total cash left in the deal: $1,380
.

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

Bigger Pockets Podcast gets 100% the credit

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

Circle of influence. A fellow gym member for this particular deal.

How did you finance this deal?

House hack 5% down for the purchase. Private money interest only for the rehab.

How did you add value to the deal?

Full remodel of both apartments interior and exterior. Added a bedroom to one of the units.

What was the outcome?

Purchase price: $136,000
Down payment + CC: $29,200
Repair Cost: $71,000
Interest only at 4% for repair cost x 5 months: $1180
All utilities split
Top unit rented annually for $1500/month
Bottom unit rented annually 1450/month
Total rent $2950
All in for 101,380
Appraised at $337,000
Cash out refinance for $100,000
Total cash left in the deal: $1,380

Lessons learned? Challenges?

I had some difficulty with some subcontractors and would have save money and time with a better team.