Flip #3 - Ended up holding for myself and moved my family in

[Andrea Galitz]

Investment Info:

Single-family residence fix & flip investment.

Purchase price: $160,000
Cash invested: $300,000

I ended up saving this flip for myself. My family and I now live in the home, that has an estimated value of $450,000. I refinanced and now have a mortgage of $260,000 resulting in $190,000 equity. I spent more on the rehab, as I decided to hold for myself, so ended up spending more $$ on better installation, flooring, trim, windows, etc.

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

The location and property size. Property on 1 acre and fill of deer and other wildlife. The home was also a 1 story with basement which makes in a lot easier to rehab.

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

As a realtor on the MLS and receive early notice as the property was in the private network.

How did you finance this deal?

personal funds of $200,000 and a construction loan $100,000.

How did you add value to the deal?

Total rehab.

What was the outcome?

Held property for personal home.

Lessons learned? Challenges?

The things that need to be done with larger wooded properties, with well, and septic.

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

First Federal Saving Bank for Elgin, IL. They were great with a construction loan.