Cabin STR into Flip

[Reuben Friedman]

Investment Info:

Single-family residence fix & flip investment.

Purchase price: $95,000
Cash invested: $60,000
Sale price: $200,000

Bought a great cabin in the mountains that needed a new septic system and brand new finishings. Listed it for short term rentals was doing great - double the market - then one guest asked to buy it and I sold it for 200,000.

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

It was within a 4 hour drive of my house and I was able to visit it personally

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

I used a website called agents invest and the deal was brought to me. It was a second home from a family and I was able to negotiate lower.

How did you finance this deal?

I used 25% down and conventional financing

How did you add value to the deal?

Kitchen redo, septic system install, landscaping

What was the outcome?

Resold 200,000

Lessons learned? Challenges?

Biggest challenge was the weather - the pipes froze when it reached -27F. This is when I knew I would want to sell.

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

Yes terry naroian - agent