Fix and Flip Success

[Tyler Fontaine]

Investment Info:

Single-family residence fix & flip investment.

Purchase price: $244,000
Cash invested: $85,000
Sale price: $380,000

This one was our first flip. We did it without training wheels so we made a slew of rookie errors which bled into our profits.

That said, it's the cheapest education I've ever received and we came out on top in the end.

The acquisition was through a local wholesaler. We funded it with hard$ where we used personal cash as a down payment. Initially we did a lot of work ourselves but outsourced the bulk to our contractor. I'll say he more so worked with us than worked for us.

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

Me and my partner have seen many others do this and were familiar with the process. We decided it would be the vehicle we would use to build capital to invest into holds long term.

Additionally it serves as a great way to build a solid foundation for the future. Our wealth of experience and knowledge was increased dramatically through the process. Plus we fostered relationships that will be fruitful in the future as we grow and evolve.

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

We network with many wholesalers and found this through one of them. Negotiations were tight as there was a fair amount of competion.

How did you finance this deal?

We partnered to attain private funds for the deposit in the hard$. Used the drawers/credit/private capital to get the deal done.

How did you add value to the deal?

We added a 1/5 bath. Moved laundry from the basement to the 2nd floor. New windows. New Hot Water heater. All new electrical and plumbing.

What was the outcome?

In the end we updated all electric, all plumbing above basement level, new hot water tank, all new windows, removed a divider wall, installed a 1/2 bath, upgraded laundry to the second floor, full kitchen remodel, full bath remodel, and installed a rear exterior door to the back yard.