From Flipper to Duplex Hack
Investment Info:
Small multi-family (2-4 units) buy & hold investment.
Purchase price: $350,000
Cash invested: $11,500
With the proceeds of the sale of our first fixer upper we purchased this duplex which we moved into one unit and same month purchased another duplex in another town to BRRRR.
What made you interested in investing in this type of deal?
Went from a single family flipper investment to a duplex for more cashflow
How did you find this deal and how did you negotiate it?
Found the deal myself on redfin after house hunting for several months. When I found the property I simply extended the radius of my search and tadaaaa "duplex" cought my attention and especially for a $350k purchase. We offered asking price to begin with to actually get our hand on the deal. Once we had the home inspection I was able to have the seller credit us at closing $8k...of which the escrow could not credit the entire amount and so I had the seller write up a personal check for $2000
How did you finance this deal?
FHA loan with 5% down, plus a seller credit of $8k
How did you add value to the deal?
The $8k credit was for repairs on the property. I personally made these repairs at a total cost to me for $150.
What was the outcome?
Still have the duplex and using it for the next deal as collateral on our first multifam 18 unit apartment complex
Lessons learned? Challenges?
Need to be patient and persistent with finding a property that fits my criteria for the present and future needs. A duplex to live in and easily able to exit out of it renting it 100%
