Second SFH Flip of 2018

[Paul Leason]

Investment Info:

Single-family residence fix & flip investment in Grand Rapids.

Purchase price: $165,000
Cash invested: $40,000
Sale price: $238,000

Modernization of a larger SFH. The budget was always going to be tight on this and we didn't achieve the Sales Price we were hoping for. Refinished and stained hardwoods, new vinyl plank flooring, new Kitchen and updated bathrooms, fresh paint.
www.PaulLeason.com/18044229

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

There was an opportuity to make a small profit here and potentially a good profit. The house was well laid out, in a good area, had solid bones and mechanicals, but needed modernization.

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

A fellow agent brought it to me, as he knew I could buy it for cash, close fast and bring the house back to life.

How did you finance this deal?

CASH with my Investment Partner

How did you add value to the deal?

Modernization of the whole house, but especially the Kitchen and bathrooms. The Master bath was very old and the shower was inoperable and it felt very closed in. We opened it up and made it feel more spacious by using a glass enclosure in place of a stud wall and tile.

What was the outcome?

Average profit, but not really worth the effort and risk.

Lessons learned? Challenges?

Should have got it to market earlier before it slowed and maybe spent some more time/money on the garage. I don't think the main listing picture drew people in either. Should have changed it sooner.

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

I am Agent and Owner.