First Investment that closes on 5/14!

[Kyle Flynn]

Investment Info:

Townhouse fix & flip investment.

Purchase price: $186,000
Cash invested: $26,580
Sale price: $246,000

I initially bought into this home to fix it up and rent it out, however, a couple of months after moving into the home and fixing things up the HOA fee just about doubled from $162 a month to $356 a month. This ultimately turned it from a great rental property to a decent rental property.

At the end of the day I decided to sell it as a flip because I ended up moving, and with the way the market appreciated everything just worked if I sold.

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

It fit my budget, was in a good safe area, and needed a lot of cosmetic work to be done to it.

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

I found this deal through Zillow, and had my agent reach out immediately. We put in an offer same day that I saw it and we ended up snagging it. Through our inspections we negotiated that the seller (who was motivated because the last closing was canceled) pay for half of the re-piping that needed to be done, and got the price down.

How did you finance this deal?

I used a 3% down FHA mortgage, and had the 3% + closing costs saved up.

How did you add value to the deal?

I repainted EVERYTHING, and did as much cosmetic upgrades as was feasible.

What was the outcome?

The deal was ultimately a success, but definitely had some bumps along the way. I honestly couldn't be prouder of how the home turned out and can't wait to get into my next deal!

Lessons learned? Challenges?

I will NOT be living in a renovation ever again, nor will I be doing the entire renovation all by myself. Ultimately I think that a lot of the stress, and the time that we spent on this deal could have been saved by using professionals.

I do believe that it was a very good learning experience though.

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

I worked with Chirag Patel to buy the home, and Deandre Perez to sell the home. These two were amazing at every step of the way and would recommend them to any and everyone!