Manayunk Flip - Record Sale Price!

[Ryan McLaughlin]

Investment Info:

Single-family residence fix & flip investment in Philadelphia.

Purchase price: $167,000
Cash invested: $59,000
Sale price: $450,000

This beauty was a full gut and it really exceeded our expectations. Originally a beat up 3/1 we converted it to a 4 bed, 3.5 bath. We partnered with our GC 50/50, utilizing a HELOC on our primary and hard money. 12 months to completion was a little long, but good things are worth waiting for.

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

We were seeking a flip to make up for lost income as my wife was out on maternity with our second baby girl.

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

House was in disrepair. As tenants were moving out I asked neighbors for the owners contact. We negotiated directly.

How did you finance this deal?

Hard money. We split all cash expenses (down payment, closing costs, construction) with out GC/ partner.

How did you add value to the deal?

Sourced the deal, contributed half of the cash, handled the sale.

What was the outcome?

The house is absolutely beautiful. We had multiple offers in our first weekend and accepted one $10K over ask.

Lessons learned? Challenges?

The project was supposed to take 5 months and it took 12. Too much time and the construction scope was too large. Smaller and faster next time.

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

I'm a realtor and I handled acquisition and the sale. I recommend Direct Mortgage as a hard money lender.