My first fix and flip

[Bryce Marullo]

Investment Info:

Single-family residence fix & flip investment.

Purchase price: $75,000
Cash invested: $125,000
Sale price: $280,000

My first fix and flip! Completely gutted the property to the studs due to poor interior condition. Replaced electrical, HVAC/ductwork, Sheetrock, flooring, roof. Changed layout & added a patio in the back. All new appliances and fixtures. Painted the exterior brick

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

I have been wanting to start fix and flips, which will eventually start funding my desire to acquire a portfolio of rental properties.

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

A good friend of mine approached me to sell his family’s old home. It was a succession property. I provided comps, and we all easily agreed on a fair price.

How did you finance this deal?

My partner has a long standing relationship with a lender, and we were able to utilize 100% financing. No cash down payment. 80% of Reno costs covered

How did you add value to the deal?

We completely re-did the house from the studs out

What was the outcome?

We are currently on market to sell. It’s been about 1 week.

Lessons learned? Challenges?

Biggest challenge was having to switch contractors multiple times due to their lack of communication and disrespect. They were unprofessional and damaged items throughout the property causing us to have to spend more money than if we had just gone with a more professional GC in the first place. It’s worth spending the extra money for quality professionals. Also, we learned to better front load our estimates for draws on the construction loans going forward.

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

I am a realtor and so is my business partner. We buy and sell our own properties as well as work with our clients!