Fix and Flip with New County Requirements

[Sean McDowell]

Investment Info:

Single-family residence fix & flip investment.

Purchase price: $17,000
Cash invested: $107,000

Fix and flip that ran into new county permit issues. Now in Richland County, SC, you have to get a licensed General Contractor or Residential Builder to "run" your project when you purchase as an LLC. Imagine trying to find your investor friendly GC/RB that agrees to put their license on the line while you run it yourself. It added SO MUCH time to this job with the county, but we are nearing the end. Fingers crossed we close at the end of this month.

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

We use Fix and Flips to fund Buy and Holds.

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

Through a partner.

How did you finance this deal?

Personally funded.

How did you add value to the deal?

Dirt to roof renovation turning it into the nicest house in the neighborhood.

What was the outcome?

Awaiting.....

Lessons learned? Challenges?

County government can turn on a dime and require new things that they didn't care about last week.

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

Yes. A partner, a project manager, a realtor, a general contractor, and many exceptional subcontractors.