Damage Control/Saving a Failed Investment

[Michael Draper]

Investment Info:

Single-family residence wholesale investment.

Purchase price: $17,000
Cash invested: $1
Sale price: $18,000

My father owned this property for several years, he bought it in nice condition in 2012. After 7 years and massive renter damage, the property fell into disrepair. After he lost $30,000 to a crooked contractor who pocketed his money and ran, I stepped in. He owed $9,000 in taxes and was about to lose the house. I managed to save the property from tax sale and sell it for more than he initially payed for it, doing damage control and partially bailing out my father's investment.

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

My father needed help.

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

The interested buyer found me on Facebook.

How did you add value to the deal?

By saving my father from a complete loss.

What was the outcome?

$6,500 for my father where he would have had nothing.

Lessons learned? Challenges?

Never buy a property without a specific goal and timeline for reaching it. Also contractors are crooks. (No offense)