Why Build-to-rent can be such a good play!!

[Seth Weaver]

Investment Info:

Small multi-family (2-4 units) other investment.

Purchase price: $550,000
Cash invested: $55,000

These pair of new construction duplexes were my first build-to-rent properties. I bought the land for $55K, then split the land into 2 separate lots which both appraised for $55K once we started the build ($110K total). Obtained a bank loan that funded 80% LTC (which the land equity covered) and started. This is in a good area and brings good renters. Over the past 4 years, I've had 2 units sit vacant for around 3 months total. Since it is new construction, I have had ZERO maintenance costs/issues. Another great benefit of new construction is the equity you get as soon as you are finished. This project cost me $550,000 to build but appraised for $850,000 when it was finished. That's $300,000 of INSTANT equity! To top this crazy story off, I was able to use bonus depreciation on the property (at this time was 100%) which allowed me to write off around $120,000 from my income that year.
Investors: YOU can be part of a deal like this as well. You just need: 1) the right builder & 2)To know how to structure your partnership. Since this project, I have partnered with several investors and used those partnerships to grow both my wealth and theirs. I know the good and the bad. Let me show you how!

Builders: What are you doing with the money you make?!? Since this build, I have been doing this as much as a I can to create that generational wealth that we all hear about here on BP. You NEED to do this as well. Let me show you how!