Auction purchase with tenant and a heavy punch list, wholesaled.

[Jonathan Litwin]

Investment Info:

Small multi-family (2-4 units) wholesale investment.

Purchase price: $195,000
Cash invested: $212,000
Sale price: $349,900

Bought on auction. Was a partition sale. Bought without looking at inside and with a tenant living there. Needed lots of work but loved the size/sqft and neighborhood. Got posession and worked out an exit with the tenant, which was relatively amicable. SOW was ugly and expensive. Decided that we could make as much profit by flipping without the rehab.

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

good market supply for multifamily in that neighborhood

How did you finance this deal?

cash

How did you add value to the deal?

paid off the tax lien