I am a Project Manager for UPS. I manage on Expansion/Construction Projects for a large shipping company. My wife and I bought our first fourplexes in December 2019 and January.2020. We renovated some apartments and have increase the NOI by 50%. Looking to leave my W-2 by December 31, 2021.
Address: 1050 Minns Drive, Machesney Park, IL 61115
Number of Units: 6
Value Add Deal? Yes
Purchase Price: $390,000
Estimated monthly increase projected? $425/unit
Anticipated value after value add: $640,000
Estimated Cash on Cash Return: 21%
Estimated Internal Rate of Return: 19.5%
The mindset is by far the most important piece of Multifamily!!
Our broker told us it was going on the market in February. We got it under contract for $455,000… then COVID hit. He let it go, joined the Lifetime Cashflow Academy in March, then got it under contract again in July for $390,000.
Spoke to lots of Warriors and others in another Mastermind Group I am a part of.
A lot! Here are the highlights: We had to let the property go in March. Our broker and the seller were very upset. When we got it under contract in July, the seller found out it was us (again) and almost didn’t sign the contract. we had delays with the financing (loan commitment) and had to file an extension. At the last minute (less than 24 hours before closing) we discovered that three tenants had not paid August Rent. One had not paid since March. We secured a $6350 credit just 20-minutes prior to closing!
Always have a bigger investor list than you think you should have.
* These examples depicting income or earnings are NOT to be interpreted as common, typical, expected, or normal for an average student. Although we have numerous documented successful deals from our coaching students, we cannot track all of our students’ results, and therefore cannot provide a typical result. You should assume that the average person makes little to no money or could lose money as there is work and risk associated with investing in real estate. The students depicted have participated in Rod’s training and coaching. The participants shown are not paid for their stories.