Last SFR that I personally work on

[Michael Bachmann]

Investment Info:

Single-family residence fix & flip investment.

Purchase price: $34,000
Cash invested: $70,000
Sale price: $130,000

This was supposed to be a cosmetic flip that turned into a full-blown rehab project. I bought this property from another investor that ran out of money because he was doing 3 projects at once. Once I really got into the house I realized that 90% of the work that he had done had been half-assed at best.

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

I got this property from Facebook marketing.

How did you finance this deal?

I actually borrowed $45,000 from a private lender who was a friend at 8% interest for the purchase and funded the rehab out of my own pocket.

How did you add value to the deal?

The house went from something dangerous and ugly to the nicest house on the block hands down. We actually got the neighbors to start caring about their own properties and how they looked and how their yards were mowed.

What was the outcome?

Because of multi factors mainly due to incompetent subs it took nearly 7 months of work to finish this house as I ended up doing 80% of it myself which I will never ever do again. There was also a 10-day vacation in the middle of this that was planned a year in advance and one of my subs had 2 epileptic seizures while on the job site which took him out of commission. The house really turned out to be the very nicest house on the block and because we priced in aggressively took 2 months to sell

Lessons learned? Challenges?

No matter how many references a person has always check them....and then double-check them.