Chattanooga Triplex House Hack

[Paul Honen]

Investment Info:

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

Purchase price: $319,000
Cash invested: $17,000

Triplex bought via House hacking

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

Just wanted to get feet wet in real estate investing. Also fairly low barrier to entry

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

MLS and through an agent.

How did you finance this deal?

FHA loan

How did you add value to the deal?

Raised Rent, had to get some plumbing done and will have to renovate one of the units when some of the tenants move.

What was the outcome?

Getting my Mortgage mostly paid (have to pay around 41$ out of pocket)

Lessons learned? Challenges?

So far, learning how to handle tenants and handymen.

The previous owners really didn't put lots of care into doing things the correct way as far as repairs go.
Inherited some tenants that might be trouble, too early to tell.

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

Worked with Sean Smith as our Realtor. Really helpful and a great contact for beginners.

[Paul Honen]

@Sher J. We used the Biggerpockets lease package for our state. They say that it has been created/reviewed by lawyers. It was fairly good. There are a few changes I think I'll make for my next signing, but it is a great starting point.