Clean and Flip Wholesale Deal

[Marcus Geiser]

Investment Info:

Single-family residence wholesale investment.

Purchase price: $25,000
Cash invested: $25,000
Sale price: $58,000

This was more of a clean and flip than a wholesale deal but it had many issues along the way. This was an opportunity to purchase a home near me. I put it under contract and had trouble getting the seller to act responsibly. It is a long sad story. I will write about it on my blog at marcusgeiser.com. After delays in closing I was getting a feel for what the house was worth and received an offer for $58,000. I accepted the offer and sold the home on November 15th, 2022.

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

The ease of the transaction. The idea of a contract having value and being assignable.

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

Drive by.

How did you finance this deal?

Personally

How did you add value to the deal?

We removed the contents of the building 90 yards. Rented a storage locker for homeowner and moved some property there. Basic cleaning.

What was the outcome?

I made an incredible profit at a huge cost personally. Stress cannot be compensated for.

Lessons learned? Challenges?

Rely on your team, be patient, and not get overly involved in the problems that are motivating the seller. Be as helpful, kind, and empathetic as possible but under no circumstances will I not follow to the letter a very well crafted offer.

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

Rachel Novalesi and Hilary Krescholiek