All Forum Posts by: Bill Black

Just in the process of buying a duplex, with the intent of living in one side and renting the other.

Kind of feeling our way through this one...

Investment Info:

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

Purchase price: $285,000
Cash invested: $5,000

A duplex unit with 1,300 sq ft per unit. We plan to live in one side and rent the other for $1800. Mortgage payment estimate is $1650.

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

The opportunity to have our monthly rent that we have been paying go toward a purchase, and then to have the bonus of rental income seemed like a good plan.

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

Just saw the listing on Redfin and made the offer.

How did you finance this deal?

30 year fixed and a covenant loan for 2nd.

How did you add value to the deal?

Cosmetic improvements and new appliances.

What was the outcome?

TBD - sale is pending inspection.

Lessons learned? Challenges?

TBD

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

Yes.
Tami Greene, CMG Mortgage
Mary Neimeyer, Windemere Real Estate
Brian Lowry, Windemere Real Estate

@Neal Collins - Yes...a 14-20 day close after inspection. The market in this particular area is moving so quickly, the agent actually suggested putting a 7 day close in our offer to strengthen our chances of getting the property. We've decided to go with our original time frame and see what happens.

Close time is between 14-20 days in our area...

It sounds like it would be about that in the area we are looking at with the inspection period question as well...  Apparently, a longer inspection MAY impact the acceptance of the offer in this instance.

We have been requesting a 14 day inspection period in our offers, and just got a response from a realtor indicating that in the region we are looking at purchasing, the most time that is given is 7 days as no one wants houses off the market for that long...

Has anyone else run into issues with this?

Thanks for the input, Bill.  The whole mobile home park flip thing was talked about in depth at a training session I went to.  It is interesting.  Something I definitely would not have thought of by myself.

We will see where this first venture takes us.  If I run into anything of interest I will post in this thread.  Thanks again!

Thanks,Greg.

I can see your point with trailer houses for sure.

Our situation is not a park model house or anything like that.   This is a 1985 manufactured house on a foundation on a sizeable chunk of land in a pretty active housing market.

I am encouraged to hear of your successes and experience with manufactured homes, and we will go into this with our eyes open, for sure!

Thanks, Evan!  We will definitely come it against other manufactured homes.

Hi all!

I have a question... have any of you rehabbed/upgraded a manufactured home?  Numbers on this look great - but a bit concerned about the "flipability"...

Our real estate agent suggests an ARV that is more than double the asking price.

Any thoughts or input?

Thanks in advance!

Thanks, Kory!