Kairos Homes, LLC Fix and Flip = Great Profit

[Dustin Kupka]

Investment Info:

Single-family residence fix & flip investment in Mitchellville.

Purchase price: $86,500
Cash invested: $32,000
Sale price: $168,500

We bought this house site unseen through an auction site which was a first for us. When we finally was able to see inside, we instantly fell in love with the character of this house. This 3 bedroom, 2 bath, 1388 sq ft home had a major face lift. We remodeled both bathrooms, new kitchen updates, new flooring, new paint, refinishing the hardwood floors, new appliances, improved landscaping and the list goes on. We had it listed for approx. 10 days and received a full offer!

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

We had seen this house on an auction site for several months. Finally, we went and looked at it and realized the house had some great features and just needed some basic improvements. All the mechanicals were great so we thought it would be a great investment and it was.

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

Auction.com

How did you finance this deal?

Private lender and personal money was used to buy and we used a local bank to help with the renovation cost through a construction loan.

How did you add value to the deal?

Complete new kitchen remodel with all new appliances, 2 new bathroom remodels, refinished hard wood floors, new interior paint in the entire house, new carpet and laminate flooring for kitchens and baths, landscaping, etc.

What was the outcome?

Sold for full price

Lessons learned? Challenges?

We had a tree that was rotten (didn't know it when we bought it) and we didn't handle it. The night we received an offer, a storm came through and knocked it over onto our garage and chain link fence :) causing lots of damage and creating more excitement. We ended up fixing the garage roof and fence and was able to still sell to our buyers.

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

I worked with Andy Goodall as my co-agent for listing this house. Its good to always have another perspective when selling your own personal houses. He helped me with negotiation and probably put an extra $3,000-$5,000 in my pocket.