Los Angeles House Hack

[Nick Hedberg]

Investment Info:

Single-family residence fix & flip investment.

Purchase price: $765,000
Cash invested: $250,000
Sale price: $1,300,000

House hack I am currently working on. We rehabbed the property and are currently (2022) adding an addition and ADU.

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

5% down payment and high ROI. Plus once the ADU is complete we will have rental income off setting our mortgage and a place for family/friends to stay.

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

Property was on the MLS. We were able to beat several investors with higher cash offers through persistence and staying on top of the agent.

How did you finance this deal?

Bank financing.

How did you add value to the deal?

Rehab, addition and ADU.

What was the outcome?

We expect to clear $200k+ when we sell or do a cashout + HELOC.

Lessons learned? Challenges?

Don't get cheap hardwood floors and stay on top of your contractor. We went by the property every week and always found things that needed to be communicated.

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

Myself. :-D