Turn Key Duplex in Linden

[Johnny Crane]

Investment Info:

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

Purchase price: $111,500
Cash invested: $70,000

I purchased this property after completely as successful BRRR on a house in Grand Blanc. Significant renovations were needed but I now have a completely updated turn key duplex that cash flows very well.

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

I had been looking for a multi-family

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

I bought this property less than 12 hours after it went on the MLS. I heard about it from another realtor so I immediately went to see it and then wrote an offer.

How did you finance this deal?

I did a cash out refi of another rental property that I bought and renovated.

How did you add value to the deal?

I bought this property for 21k less than the appraised value. Then I completely remodeled the entire house.

What was the outcome?

Annual cash on cash return of over 12%

Lessons learned? Challenges?

Going into the deal I knew that I needed to replace the furnace. It was an old water heating system that had to go but I didn't factor in enough for the additional duct work that needed to be added for a forced air system. This cost me several thousand extra. My lesson learned is that if you are not 100% sure on the cost of a certain repair or renovation, find someone that will know!

Did you work with any real estate professionals (agents, lenders, etc.) that you'd recommend to others?

I'm a licensed realtor so I wrote my own offer. I have several very good contractors that I can recommend though!

[Johnny Crane]

@Courtney M. thanks and yes, I've definitely considered it but since my properties are updated, they really require very little oversight. I'm currently looking for more single and multi-families at the moment so there will come a point when I just have too many to handle on my own and then I would like to hand it off. Are you looking for more properties in the area? let me know if I can help in any way! I'm a licensed realtor and know the area well :)