First large rehab that we did. Turned out to be a very good deal!

[Paul Juell]

Investment Info:

Single-family residence fix & flip investment in Tucson.

Purchase price: $285,000
Cash invested: $82,000
Sale price: $420,000

My first 'Big' remodel. I had done a mostly cosmetic rehab as my first project (Blue Wing Dr.), but this one needed a lot of work! Overall, the house was not bad structurally, just very outdated, a lot of pet damage, and a little more colorful than I would have preferred.

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

This home is in an established neighborhood that I am very familiar with.

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

This deal came straight from the MLS. We got the seller down a bit from asking price and went from there!

How did you finance this deal?

This was a hard money loan (very expensive, but could not have done it otherwise).

How did you add value to the deal?

We removed and/or opened as many walls as possible, removed an old fireplace and several built in wall units for space and an open feeling. Added a closet and a door to an extra space to make this the only 6 bedroom house in the neighborhood. Otherwise we did what you would expect; carpet, tile, paint, cabinets, granite, new appliances, fixtures/hardware, etc.

What was the outcome?

We ended up spending about $10,000 more than the budget, but sold it $20,000 above asking price in just a couple of days!

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

I am a Real Estate agent in Tucson. I collected a commission on the purchase and the sale of this property.