Updated over 2 years ago on . Most recent reply
Single Family to Duplex Buy and Hold
Investment Info:
Small multi-family (2-4 units) buy & hold investment.
Purchase price: $105,000
Cash invested: $90,000
Single family home converted to duplex. 4/2 on level 1 @ $1600/mo, 2/1 on level 2 @ $850/mo. Utilities separated.
What made you interested in investing in this type of deal?
Forced appreciation opportunity with a 3100sqft property with only 2000sqft livable space.
How did you find this deal and how did you negotiate it?
Zillow/MLS listing and negotiated w/ a local realtor.
How did you finance this deal?
Traditional investment loan.
How did you add value to the deal?
Level 1 all new lvp floors, switched from gas to electric, new heat/cool window AC units, fixed 2nd bathroom hot water, added shower to 2nd bathroom, new paint, and new windows. Landscaping and privacy fence extension.
Level 2 complete renovation of electrical, plumbing, added bathroom and kitchen, new windows, refinished hardwood floors, new bathroom and kitchen fixtures, and new doors.
What was the outcome?
Both units under lease for a total gross of $2450/mo
Lessons learned? Challenges?
Affordable plumber and electrician willing to pull permits took about 4/5 months.
Did you work with any real estate professionals (agents, lenders, etc.) that you'd recommend to others?
No.