Updated almost 6 years ago on .
First Duplex - House Hack
Investment Info:
Small multi-family (2-4 units) buy & hold investment in Minneapolis.
Purchase price: $405,000
Cash invested: $20,000
Contributors:
Jordan Moorhead
Closed on a duplex in a great neighborhood. We plan to live on one side (renting out our basement) and rent out the other. Expected to produce $64 dollars cash flow before reserves!
What made you interested in investing in this type of deal?
Eliminating our housing expense while finding a deal that will cash flow close to $1000 once we move out.
How did you find this deal and how did you negotiate it?
We found this deal on the MLS. As soon as it popped up we put an offer in right away.
How did you finance this deal?
5% down conventional loan (Home possible)
How did you add value to the deal?
We plan on remodeling both kitchens all bathrooms and basement bedrooms.
What was the outcome?
Rents for the property right now are way under market value. A $500 rent increase at minimum is very doable. The outcome will produce a great amount of cash flow once we move
Lessons learned? Challenges?
Be diligent in your research and ask a lot of questions. One thing Jordan Moorhead said that stuck with me is "We won't know until we ask"
Did you work with any real estate professionals (agents, lenders, etc.) that you'd recommend to others?
I couldn't thank @Jordan Moorhead enough for how effortless he helped make this process! I would highly recommend him to beginners like me looking for their first house hack. Jordan is a very calm person who is going to cut it to you straight which makes him easy to work with. I look forward to working with him on my next deal.
