House Flip to Myself: $164,000 in increased value!

[Joseph Salzillo]

Investment Info:

Single-family residence fix & flip investment.

Purchase price: $321,000
Cash invested: $95,000

I flipped this property to myself!! This was a pretty big rehab project and took a few months to complete - however, with a $321,000 purchase price, this house is now worth $485,000 and I was able to recover a majority of the cash I put into the deal as well as go from 5% down payment to 20% equity all while owning a fresh new house!

How did you add value to the deal?

Scope of Work:
Land clearing for 20,000 SQFT of brush, trees, a pond, and a fire pit; re-grade the land, add fill, hydroseed, and black mulch the rock wall before the orchard.
Demolition of 1,100 SQFT: 5 walls (two retaining walls), ceiling, flooring, and subflooring.
Installation of two 3 ea. x 12" LVL beams and lally columns supporting the open floor plan where the retaining structure used to be.
Removal of existing oil boiler, oil storage tank, and existing water heater.

What was the outcome?

Installation of Navien combination boiler / tankless water heater, air handler with ductwork for two-zone HVAC, outside condenser, and Fujitsu ductless minisplit in family room on slab.
Installation of 500-gallon liquid propane tank underground and convert from oil to LP.
Installation of 1,100 SQFT of 5" x 3/4" French Oak Pacific Grove hardwood flooring with new OXB underneath.

Lessons learned? Challenges?

New insulation across first floor along with sheetrock, Alexandria Moulding trims, primer, and two coats of eggshell paint (1,100 SQFT).
Installation of 15 ea. 6" recessed lighting cans across first floor with pendant lights for the dining room and over the kitchen counter.