How to Leverage FHA and make $100K++ profits

[Brandon Sturgill]

Investment Info:

Single-family residence buy & hold investment in Columbus.

Purchase price: $77,001
Cash invested: $6,900

This is a SFR with 3BR's and 2BA. We did a live-in renovation on and contributed about $7,000 with a lot of sweat equity. At the yr 1 appraisal we had created $50k in equity and leveraged the property to buy other flips. This gets pretty complicated as we were blanketing properties under a portfolio loan and using LOC for renovations...and re-financed this one after we pulled $30k from a HELOC then moved and rented it at $1,200/mo.

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

This was an FHA owner-occupied live-in flip. We were doing 1 a year at the time

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

Market listed

How did you finance this deal?

FHA

How did you add value to the deal?

We did a live-in renovation

What was the outcome?

$100k++ made from leveraging this property to do other flips...and we still own it...and it cash flows very well.

Lessons learned? Challenges?

Live-in renovations are hard work.