All Forum Posts by: Lee Gierszewski

Investment Info:

Single-family residence buy & hold investment in Bismarck.

Purchase price: $85,000
Cash invested: $10,000

Picked this up on a 30 month Contract for deed. $10k down. $700/mo for 30 months. Buyout at end of CFD for $54,850.
Currently rented on a 2yr lease for $1200/mo.

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

We weren't interested in this deal. It just happened to be a house next to a triplex we already owned. Owner liked what we had done with triplex & asked if we were interested in purchasing his property.

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

It was a house next to a triplex we owned. Owner told us he was going to sell it. We took him out to lunch a couple of times, got to know each other and hammered out a deal.

How did you finance this deal?

Contract for deed

How did you add value to the deal?

We're installing an egress window in the basement and also going to add a bathroom downstairs. Should bring the refinance value up to around $150,000.

What was the outcome?

We are 1/2 way through the CFD. Things are looking good.

Lessons learned? Challenges?

No real problems so far.

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

My partner & I are both licensed RE agents.

It's been a hot tick since we've met. So let's do it again before the holidays kick off and discuss plans, ideas, thoughts, etc! Hope to see a bunch of you there!

@Karlo Alamo The deals are out there, you just have to look, and most of the time the deals are not on the MLS. Most realtors know nothing of the rental property world and price them as if they were homes.
I am a Bismarck native and I just closed on my 49th unit last week all in the Bis/Man area. If you ever wanna meet up and discuss Real Estate, i’m game most any time!

@Leslie Crosten You need to find a different bank. You can get an FHA or VA loan on any property four units and under as long as you occupy the residence as your primary residence and it meets their more stringent guidelines.

I may have just closed on my best deal this past week. Contract for Deed on a 4-plex.

Purchase price: $150,000

Down payment: $20,000

Terms: 5yr payments of $1000/mo  $950/mo principle buydown  $50 interest

Buyout after 5yr term : $73,000

After tenant replacement/increases expected monthly rents $3000/mo

This will be my first rental to hit the 2% mark!

I bought a Triplex for 172K. I painted the exterior & installed new windows for approximately $7000. Six months later I had it refinanced & appraisal came in at 285K Was able to pull $88,000 out. I have no money left in the property and it still cash flows around $500-600/month.

Super Fantastic Bismarck meetup is back!

I could take a look at the 3/2’s in Bismarck & let you know what I think about them. 

We are still good to go for the meetup tomorrow at the North Starbucks on 43rd by the north WalMart. See you all there.

How about we meet at Starbucks at 1402 43rd Ave NE. It's the one up by the North WalMart.

I also just looked and they are open until 10pm & if we're still going strong we can head somewhere else after that.

It's about time we get together again and see what everyone's up to in Bismarck and the surrounding area. Spring is right around the corner, it's time to invest!