One year ago, in July 2020, Gray Property Group’s Caitlin Collins closed on her first investment property, brokered by Nick Gray. They found the property off-market with low rents, but determined that it had high upside potential after a cosmetic renovation. Caitlin purchased the 12-bedroom 3-family on Manchester’s West Side for $310,000 with an FHA loan and managed a $70,000 renovation over a two-month period. At the renovation’s conclusion, Caitlin was able to fully lease the property with gross rental income of $5,500/month and cash flow of >$2,000/month.
Given the forced appreciation achieved by the renovation and the natural appreciation that has occurred in the market over the last 12 months, the 3-family appraised at $525,000 in July 2021. This enabled Caitlin to refinance the property this month to remove her $215/month private mortgage insurance expense and secure a lower interest rate, good for an extra $400/month of cash flow. This was a great first multi-family investment deal for Caitlin and she looks forward to many more to come.