Updated about 6 years ago on . Most recent reply
4 unit apartment in Iowa
Investment Info:
Small multi-family (2-4 units) buy & hold investment in Marshalltown.
Purchase price: $53,000
My first rental property! 4 unit apartment in a small Iowa city. Purchased for $53,000 with only $3500 down. Net cash flow is $300/ month after all expenses, repairs, cap-ex, and vacancy.
What made you interested in investing in this type of deal?
Low cost opportunity to generate cash flow.
How did you find this deal and how did you negotiate it?
I mentioned to a co-worked that I was looking to invest. He had this property for ten years and was tired of dealing with tenants. After looking at the deal, his price felt fair. I think I could’ve negotiated a little, but the money made sense and I didn’t want to get in an awkward scenario negotiating with a co-worker without an agent.
How did you finance this deal?
Commercial loan through a local bank.
Most Popular Reply
Congratulations on your first rental! We just purchased our first as well. Very comparable to your property .. a low cost 5 unit multifamily in Indianola that cash flows well. I also recall reading "Rich Dad Poor Dad" about ten years ago as a young college student. I wish it was as meaningful then as it is now! I had to crush some limiting beliefs first I suppose ... but hey, better late than never. Once you get the first deal under your belt, it is definitely exciting to start searching for the next. Best of luck on your next venture!