Live and Flip/ Remodel

[Jeff Peterson]

Investment Info:

Mobile home other investment in Sacramento.

Purchase price: $200,000
Cash invested: $35,000

Live and Flip, I used this home as my residence for the 2 years required to avoid capittal gains tax and have since kept this property as a rental.

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

I needed a place to live, then moved in with my girlfriend (now wife)

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

MLS deal, paid over asking price but bought it at the right time (2012)

How did you finance this deal?

Family loan

How did you add value to the deal?

The house was in amazing shape but original from 1960 and badly outdated. I gutted the kitchen, bathrooms and refinished the original hardwood flooring tomake the house like new on the inside (the outside was already in great shape).

What was the outcome?

I still own the property but might exchange to find another deal with better cash flow.

Lessons learned? Challenges?

I am not getting the market value rent for the property but the tenants are long term, pay on time every month and keep the place in amazing shape but looking for better cash flow.

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

No