Bigger houses do not mean better!

[Mike DeWitt]

Investment Info:

Single-family residence buy & hold investment in Huntsville.

Purchase price: $189,000
Cash invested: $43,000

Bigger houses do not mean better! We tried to take down a 5/3 SFH BRRRR and it crashed -- could have been worse and plenty of lessons leanred!

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

We thought scaling up meant we could graduate from "slumlording" to buy a larger house in a nicer neighborhood.

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

Wholesaler and paid $20k over asking :/

How did you finance this deal?

Partnered 50/50 with the same partner who helped out with our first partnership

How did you add value to the deal?

This house was purely cosmetic. We did not add any beds, baths, or square footage

What was the outcome?

Our total project cost was around $230,000 and our Appraisal came back at $250,000. We left A TON of cash in this deal, but at the end of the day, we still provided solid returns to ourselves, and our partners for risking it for the biscuit!

Lessons learned? Challenges?

Our total project cost was around $230,000 and our Appraisal came back at $250,000. We left A TON of cash in this deal, but at the end of the day, we still provided solid returns to ourselves, and our partners for risking it for the biscuit!