Updated 1 day ago on . Most recent reply
Ski Town Duplex
Investment Info:
Small multi-family (2-4 units) buy & hold investment in Philadelphia.
Purchase price: $415,000
Cash invested: $115,000
Sale price: $850,000
Duplex - Lived in one side while I renovated it and rented the other side. Then when that person moved out a switched units and did the same and remodeled that one then rented it out. $2400 for the top unit, $2200 for the bottom.
What made you interested in investing in this type of deal?
I was looking for an investment property in a college down before it boomed. I caught it right before it really exploded. Lucky timing.
How did you find this deal and how did you negotiate it?
Driving the neighborhoods, found a FSBO. Wasn't an easy transaction, but got it done.
How did you finance this deal?
conventional
How did you add value to the deal?
Remodeled the interior. Lived in one side while I remodeled it (not reccomended, but was definitely efficient) and then switched after the other tenant moved out.
What was the outcome?
Sold it - 1031 into a single family thats a str and built a studio apartment over the garage also str. Free and clear and made 53k off of it last year.
Lessons learned? Challenges?
Don't buy a place with renters unless you do your due diligence. Had to evict one of them and he had a long record of not paying and then suing.