All Forum Posts by: Tim Andy

I had made 4 other offers, the first duplex I almost landed I ended up in a bidding war and didn’t want that for my first one. Looking back I wish I made that purchase because that area in particular had really appreciated. This duplex has been rented full time for 2.5 years with very little tenant hassle. We did have one tenant dump 5 gallons of gasoline in the basement sump and then attract rats by storing garbage in the garage but that was taken care of quickly and there haven’t been any other issues.

the main lesson from this one was I wish I had started earlier, deals keep getting harder to find. Now I’ve done two BRRRRs and been successful so I’m going that route.

Investment Info:

Single-family residence buy & hold investment.

Purchase price: $56,000
Cash invested: $4,630

Single family home Bought and rehabbed in the South Hills of Pittsburgh.
- 2 Bed
- 1 Bath
- Washer/Dryer
- Dishwasher
- Central AC

This was bought and needed to be brought up to date I added new carpet, paint, light and bathroom fixtures.

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

After my first deal which was bought conventionally I wanted a way to maximize my remaining capital so I turned to BRRRR.

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

This deal was found on the MLS. We dealt with the executor of the estate while negotiating. They were asking 75k and we agreed at 56k. The executor told me they decided to sell to us at that cost because we were the only offer that treated them respectfully. During negotiations we explained to the buyer we were buying to rehab and rent. We outlined the amount of work required and our expected rent to show why our offer was substantially lower than asking.

How did you finance this deal?

I bought and rehabbed this deal cash and am currently looking to do a cash-out refinance on this deal and one other I still own outright.

How did you add value to the deal?

We agreed to help out the estate by removing all remaining furniture and goods, we found a local agency that we could donate a left over stairlift to.

After the purchase we updated all light fixtures, added carpet, painted everything and refreshed the kitchen and bathroom.

What was the outcome?

We were able to get this home rented for $975/month a month after the rehab was complete. We bought in an appreciating neighborhood around Pittsburgh, and I expect this to refinance in the 90s.

Investment Info:

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

Purchase price: $70,000
Cash invested: $17,500

This duplex was my introduction into Real Estate. A property manager helped me find and buy this deal. It wasn't a home run but it got my foot in the door of investing.

How did you finance this deal?

Conventional 30-year mortgage

Hey guys, I have 1 Duplex in Carnegie on a conventional loan with 25% down, but I was considering trying my hand at the BRRRR strategy now. Do you know of any lenders who have less than a 1 year seasoning period before refinancing at the properties ARV. I'm going to start calling around after I get a place under contract but I wanted to check and see if anyone had some suggestions. Tying up most of my remaining capital for a year would be a tough pill to swallow.

For my first property I used Clearview Federal Credit Union for my financing.

Hey guys, I'm looking for a little more clarity on how this gets drawn up. My parents are willing to loan me 20k for some BRRRR properties I'm looking into. Their money will be used for part of the rehab. They are comfortable with a personal guarantee and 10% interest rate.

What kind of documentation is required so that they have a record of interest received on the loan for taxes, etc. 

I'm just breaking into real estate so everything is new to me. And I'm trying to cover all my bases before I go and take 20k from my parents. 

I'm closing on my first buy and hold duplex in 2 weeks and I'm beginning to go down the BRRRR path to try to stretch remaining resources.

Thanks for any help you can give me,

Tim