First Property Purchased!

[Tim Illguth]

So I just closed on my first real estate deal. (Well actually my second but the first time I really didn't know what I was doing. I built a house and then sold it for a $60k profit. Then used that money to go to school full time ) I consulted with a real estate investor from the states and a real estate agent who himself invests. I was able to find a freeze up house worth $200k (according to the agent) for $80k. I asked and he said it was a deal he would invest in but didn't currently have the means. I was able to purchase it as an owner occupied unit, since I will be living in it for about a year. The repairs came to $36k total so we should be able to profit from the sale in a year. My question is; how should I keep from accidentally putting down roots or making too many improvements. I've asked my realtor and he said just ask him before making any improvements but I wanted to ask for any help on the mindset of a live in flip or good books you would suggest so I stay in the right path?

[Rachel Pervis]

Hi @Tim IllguthI would ask the agent to pull comps in your NBHD that are close in square feet and other features that sold for a higher sales price in the NBHD and within close proximity to your house. I would be looking for the upgraded features in those houses. This will help you get an idea of how far you should go when making improvements and in the event that there aren't any upgrades in these comps you should then limit your level of improvements/upgrades.