Questions about our new REO Purchase

[Mike Lynch]

Hi,

My wife and I have been saving our pennies for 20 years. We live in a small 3 bedroom home, near the NC coast. We found and purchased an REO property with cash that has a bad sewer and needs work on everything. I am a commercial plumber and she is a graphic artist, so she is great at painting and has an eye for proper colors and I can do all of the rest. I have already replaced / repaired the plumbing, much of the carpentry, and much of the electrical myself since we purchased it this year on August, 31, 2015. We have not hired any outside help, just the two of us so far with our sweat and materials. At least 40 people tried to buy the home, but after finding out about the bad septic, not being able to get a loan on a condemned home, and other things that needed repairs, they all failed to purchase it. The zestimate is $301,287, if that means anything? We purchased it for $118,000. It is a .5 acre waterfront property on a tidal saltwater river and even has a small creek running down by the side of the home.

Now, we do not know what to do with it after it is finished in a few months? My goal is to have plenty of money for retirement. I am 47 years old now.

How do I turn this into a lot more? Do I keep it and rent it out? It is a prime piece of property! I really hate to sell it. The view is pretty breathtaking. Do I get a renter in there then take out some sort of loan on it and buy another "fixer upper" property, fix it up and flip that one. Do I sell the river property, and buy perhaps 2 more homes to flip? Before the bubble burst the home was worth about $450,000.

I want to try and play it as safe as I can, but keep on going with the house flipping or other real estate ventures. We are not sure of the best and most safe way to do it?

Any suggestions would be great!

Thanks!