Long Term Live In Flip

[Peter Falk]

Investment Info:

Single-family residence fix & flip investment.

Purchase price: $243,000
Sale price: $379,000

We moved here after selling our previous live in slow flip which took around 5 years (spent the last year or so relaxing before selling). We were able to redesign this dated ranch (including flipping the basement staircase around to make room for a huge pantry) and sell it as a modern Ranch into our heated sellers' market.

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

Sold our last live in flip and needed a place to live, so picked a home in a good neighborhood knowing we could come up with some plan to update the space.

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

Was on the MLS

How did you finance this deal?

Conventional financing

How did you add value to the deal?

Renovated everything inside and added a basement rec room and full bath.

What was the outcome?

Successful sale and bought another outdated home nearby to update and eventually sell. In our long-term live-in flips, so far we have been able to meet our goals of making at least 30% return on our money spent on improvements (the strong sellers'market/appreciation during our holds has also helped!)

Lessons learned? Challenges?

We loved being able to more easily relocate things with this Ranch floor plan and full basement (so could move plumbing around, etc. much easier than working with our current 2 story home where you have to really plan to make sure you can connect up with a drain line, etc. running up from the basement--as an example there had to use a laundry chute as a chase for water/drain/and electric to move laundry from the basement to the 2nd floor).

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

Bought and sold the property as a principal as I am a WI real estate broker (with the Stark Company)