My 1st Flip - in MD

[Andy Hill]

Investment Info:

Single-family residence fix & flip investment.

Purchase price: $75,000
Cash invested: $75,000

1st Fix and flip property. Unfortunately went through a divorce as soon as I purchased the property and had a lot of other first timer issues that were unforeseen on my behalf. However, I wouldn't allow any of them to completely derail me from accomplishing my goals and dreams. I am finalizing the last couple items this week and putting it on the market next weekend 2/25/22 for $190K, but should get closer to $200 with multiple offers driving up the price.
Ready to get started on my next deal!

What made you interested in investing in this type of deal?

I have always had an interest in REI but have been so hung up in my own career that I haven't allowed myself the opportunity to take the leap of faith. I have owned other businesses and currently do but none of them were my "true passion" like real estate is.

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

I purchased my first deal from a local wholesaler and got what I thought was a good deal on the property that had to close within 1 week of getting word of it.

How did you finance this deal?

I found a hard money lender and closed within 7 days of learning about the deal. It took a lot of work to not only find and vet out some finance options but also make the closing date work so quickly. I was happy with the company I picked and they have supported me quite well for my first transaction with them.

How did you add value to the deal?

I bought low and did a lot of the rehab work myself. The work I wasn't able to do I sourced to friends and family members I have relationships with to get affordable pricing with.

What was the outcome?

Well the house hasn't sold yet but based on some safe assumptions It will go on the market next week and should sell rather quickly for between $190-$200K. With that assumption in place I stand to make between $35-$45K on the first flip.

Lessons learned? Challenges?

I learned a lot about permits, managing contractors, scheduling the different vendors accurately, working with hard money lenders and how to better plan in advance for my next flip.

Did you work with any real estate professionals (agents, lenders, etc.) that you'd recommend to others?

NA. Will update once it sells.