Updated almost 6 years ago on .
My 3rd Deal but first Probate property
Investment Info:
Small multi-family (2-4 units) buy & hold investment.
Purchase price: $25,000
Cash invested: $12,000
This is a smaller multi-family that I purchased with a tenant already in it, I was able to raise the tenant's rent right after I purchased it to 600 ( it was all he afford). I then rehabbed the downstairs unit and am renting it for 800 fully paid by a housing program.
It was a probate property so it was in pretty good shape just a little TLC and I upgraded the kitchen in the downstairs unit, redid the upstairs kitchen but not a complete remodeled and remodeled both bathrooms.
What made you interested in investing in this type of deal?
The price and house when I saw it.
How did you find this deal and how did you negotiate it?
I found it on the MLS and it was listed at the price that I paid.
How did you finance this deal?
Cash
How did you add value to the deal?
Complete remodel of bathrooms, complete remodel of 1 kitchen and an upgrade to another kitchen and new windows.
What was the outcome?
I was able to raise the rent on the tenant that was currently living there and was able to get 800 for the downstairs unit totaling 1400, the upstairs tenant had to move he got sick but I have another tenant that will move in the new year for 700 so the home will be making 1500.
Lessons learned? Challenges?
Probate properties can take a long time due to arbitration but if it's the right property it can be worth it.