Cash Flowing 4-Plex in Sacramento
Investment Info:
Small multi-family (2-4 units) buy & hold investment in Sacramento.
Purchase price: $355,000
Cash invested: $100,000
Great +CF 4-plex deal in Sacramento CA (which is becoming more rare everyday)
What made you interested in investing in this type of deal?
Split risk in MF purchasing is always ideal.
How did you find this deal and how did you negotiate it?
Scouring the internet and reaching out to brokers in the area
How did you finance this deal?
Started with a bridge loan, then a refi to conventional after 1 yr of rehabs and other value increases.
How did you add value to the deal?
Raised below market rents
Exterior paint
Light structural repairs
Transferred some utility billing back to tenants over time
What was the outcome?
Beautiful +CF deal, with minimal issues
Lessons learned? Challenges?
Make sure to understand where the costs are coming from and work with the tenant to solve problems, if you can