Real Estate Deal Analysis & Advice

User Stats

5
Posts
7
Votes
Clayton Vozzella
7
Votes |
5
Posts

2 Unit Rental Property

Clayton Vozzella
Posted Nov 18 2021, 10:58

Investment Info:

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

Purchase price: $100,000
Cash invested: $110,000

Two structures on one parcel. Both rented out bringing in great cash flow.

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

High return on investment.

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

On the Columbus MLS.

How did you finance this deal?

Cash.

How did you add value to the deal?

Remedying code violations on the second structure, renting it out, and increasing the property's cash flow.

What was the outcome?

Smooth transaction which added to my investment portfolio.

Lessons learned? Challenges?

Everything went pretty smoothly God bless.

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

I plan on using delayed financing to pull the equity out of the property and continue building my portfolio. I'll use Liz Lawrence at Motto Mortgage in Columbus, OH to do that.

User Stats

3,782
Posts
3,842
Votes
Remington Lyman
  • Real Estate Agent
  • Columbus, OH
3,842
Votes |
3,782
Posts
Remington Lyman
  • Real Estate Agent
  • Columbus, OH
Replied Nov 18 2021, 11:24
Originally posted by @Clayton Vozzella:

Investment Info:

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

Purchase price: $100,000
Cash invested: $110,000

Two structures on one parcel. Both rented out bringing in great cash flow.

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

High return on investment.

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

On the Columbus MLS.

How did you finance this deal?

Cash.

How did you add value to the deal?

Remedying code violations on the second structure, renting it out, and increasing the property's cash flow.

What was the outcome?

Smooth transaction which added to my investment portfolio.

Lessons learned? Challenges?

Everything went pretty smoothly God bless.

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

I plan on using delayed financing to pull the equity out of the property and continue building my portfolio. I'll use Liz Lawrence at Motto Mortgage in Columbus, OH to do that.

 Nice deal! Columbus, Ohio is a booming market

User Stats

849
Posts
963
Votes
Brandon Goldsmith
  • Real Estate Agent
  • Columbus, OH
963
Votes |
849
Posts
Brandon Goldsmith
  • Real Estate Agent
  • Columbus, OH
Replied Nov 18 2021, 12:18

Congrats on getting started in Columbus! @Clayton Vozzella

User Stats

1,347
Posts
790
Votes
Bud Gaffney
  • Rental Property Investor
  • Boston, MA
790
Votes |
1,347
Posts
Bud Gaffney
  • Rental Property Investor
  • Boston, MA
Replied Nov 18 2021, 16:09

@Clayton Vozzella great work!! On to the next 1!

User Stats

1,249
Posts
1,290
Votes
Marc Rice
  • Real Estate Agent
  • Columbus, OH
1,290
Votes |
1,249
Posts
Marc Rice
  • Real Estate Agent
  • Columbus, OH
Replied Nov 18 2021, 18:39

@Clayton Vozzella

Awesome!

User Stats

5,980
Posts
4,605
Votes
Andrew Postell#2 BRRRR - Buy, Rehab, Rent, Refinance, Repeat Contributor
  • Lender
  • Fort Worth, TX
4,605
Votes |
5,980
Posts
Andrew Postell#2 BRRRR - Buy, Rehab, Rent, Refinance, Repeat Contributor
  • Lender
  • Fort Worth, TX
Replied Nov 18 2021, 21:30

@Clayton Vozzella what's your ARV on this property?

Lender Texas (#392627)

User Stats

98
Posts
97
Votes
Clay Boykin
  • Real Estate Agent
  • Columbus, OH
97
Votes |
98
Posts
Clay Boykin
  • Real Estate Agent
  • Columbus, OH
Replied Nov 19 2021, 06:39

@Clayton Vozzella Liz Lawrence is great for helping you finance deals. I have talked to her a few times. Where is this deal? What sub-market? Also, I would like to know why you chose cash over hard money or even OPM. Its great to find the two developments on one plot, that is rare around Columbus. I would like to hear what you have next in the works. Happy Investing!

User Stats

5
Posts
7
Votes
Clayton Vozzella
7
Votes |
5
Posts
Clayton Vozzella
Replied Jan 16 2022, 05:42

@Bud Gaffney thanks! P.S. I'm from Peabody, MA originally. Shoutout to you in Boston!

@Andrew Postell not yet sure on ARV. However, once I finish renovating the second structure and get a tenant in there, I could probably get upwards of $170K based on 1% rule. And I'll have put $120K into it between purchase price and rehab. So not too bad if I say so myself.

@Clay Boykin yes Liz and I are very well acquainted. She and I are actually hosting a new investor networking event come spring. This is in Hilltop on Clarendon Ave. I chose cash so I could close quickly and not be held to lender's requirements and no money spent on interest/points etc. I'll probably do a cash out refi once the rehab is done, or sell and make some fast cash. I'm not very lendable right now as I'm still new to real estate and don't have the income history needed. So right now I'm focusing on building income history to be more lendable in the future. Yes, this was definitely a rare find, and I think a good deal too.