My wife and I acquired this property from an off-market wholesaler in December. Since we were new to the area (the state for that matter) it took a couple weeks to find a contractor, but once we signed with a contractor that was willing to work with us (we did a good bit of work ourselves) it took seven weeks from demo to contract. This was a fun project and we learned a ton from it! We sold it through a killer agent who got us multiple offers and even a bidding war. Biggest take-away here is that who you have on your team makes a huge impact on your success.

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

We were interested in this kind of deal because we need to build capital for other investments (mainly buy and holds and lending).

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

We found this property from a wholesaler that had a fixed price.

How did you finance this deal?

We financed this deal with cash.

How did you add value to the deal?

We added value to this deal by pitching in our own sweat-equity and bringing a humble attitude to how we lead our team members (contractors, agents,... etc). We also enter into these types of deals with an attitude of integrity and excellence. More specifically, if we wouldn't live there by the time it's done then we did something wrong.

What was the outcome?

The outcome was a positive cash gain, longterm connections/friendships, and inspiration to move the next deal.

Lessons learned? Challenges?

Like most newer investors we ran into several challenges. The first and potentially most devastating was a miss-judgement of rehab budget. I had even ordered The Book on Estimating Rehab Costs @J Scott prior to this project but had not read it yet (SMH). Our vision just costed more to make a reality in a new area. Thankfully, our ARV was Very conservative and actually jumped about the same as our rehab numbers.

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

Yes! If you are in the Ellis County area (Waxahatchie, TX) I highly recommend the Quintana Team at Keller Williams. Dawana and her team acted as our selling agent and did a fantastic job marketing and negotiating our sell in a timely manner.