Quick Flip turned wholesale deal

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Investment Info:

Single-family residence wholesale investment.

Purchase price: $46,000
Cash invested: $46,000
Sale price: $78,000

Purchased prior to Tax Auction, but I saw it on the foreclosure listing.

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

I had some success before with the tax sales and wanted to try again in an area I had identified as up and coming.

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

It was a scheduled tax sale foreclosure. I had located the owner prior to sale and was comfortable that the liens on the property could be satisfied and title cleared.

How did you finance this deal?

All cash.

How did you add value to the deal?

I was going to fix the house, but I started to get spoked in 2006 about the market and I decided to flip it to another investor with bigger dreams.

What was the outcome?

Cleared just under 30K in 30 days.

Lessons learned? Challenges?

Sometimes doing a complete rehab is riskier than just making some quick scratch. The investor who bought it ultimately made about 150K, but had to hold the renovated property for almost 8 years