Our first flip - a labor of love

[Justin Bock]

Investment Info:

Single-family residence fix & flip investment.

Purchase price: $195,000
Cash invested: $235,000
Sale price: $472,500

First flip - downtown Durham - thought it would be a 4 month rehab. Ended up going a year. Great first learning experience though so much so that I bought the house next door with the exact same footprint.

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

Love the downtown Durham area......had 10 1/2 foot ceilings - built in 1920 - loved the history and the fact that it was conducive to the perfect floorplan.

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

MLS - negotiated with investor to include the kitchen cabinets (ended up donating them) they had bought along with appliances

How did you finance this deal?

Hard Money for purchase and 1/2 rehab

How did you add value to the deal?

Analytics - even though we went WAY over budget and help on to the property 3 times as long as planned, we were able to still make money due to precise budgeting.

What was the outcome?

Sold! Made decent money. Got to really know my neighbors and fell in love with them. I feel like we contributed to an amazing street with a mix of new and original residents! On to the house next door!

Lessons learned? Challenges?

Need to plan better. Need to find contractors you trust. Use an architect for bigger jobs!