My first renovation and retail sell

[Debora L Griffin]

Investment Info:

Single-family residence fix & flip investment in Westlake.

Purchase price: $98,000

Cash invested: $42,000

Sale price: $198,000

This was my first flip as a business and I worked with two other new investors. We met at our REI group.

A wholesaler we had developed a relationship with called and sold us the property.

We learned a lot on our first flip and continued on to do another project together.

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

I love to take older houses and update them to today standards, making them as efficient and beautiful as possible.

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

A wholesaler I had met at the Sherriff’s sale called. He had been very helpful in keeping me in the loop and sharing his knowledge. He knew what I was looking for.

How did you finance this deal?

The three investors put up all the money to begin, then we refinanced with a hard money lender later to complete the project.

How did you add value to the deal?

We took a closed off kitchen and living room and removed a wall thereby making it an open concept layout. Also, because the previous owners had a disabled daughter, there were some necessary accommodations that devalued the property...we renovated those for better value. 

Lessons learned? Challenges?

Two additional partners really helped when we were seeking financing because between the three of us, banks loved our financial situation. However, when it came to splitting profit, it really cut into my portion😁😁. We did one additional house together then decided to limit partnerships to two at a time.

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

We used Lending One for the refinance and they were great.