Fix and Flip, Investor made $1, 483 for a year!

[Ryan Janssen]

Investment Info:

Single-family residence fix & flip investment in Menomonee Falls.

Purchase price: $178,000
Cash invested: $100,000
Sale price: $322,500

Fix and flip, the investor got fat on this one because it was a year project and we paid him 10% APR. The investor made $1,483 a month for a year! We put over a 100 grand in this property and I made very little due to sales expense and investor income. This is a property that I learned a great deal about this business and how doing everything to a home in a flip may not be the best investment. We added a new roof, furnace, siding, windows, concrete driveway, updated the kitchen, master bathroom, added carpet and flooring throughout. This was a negative project for me but I did earn a lifetime investor!

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

It was a good deal at first but we had to add too much to make a profit.

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

Wholesaler, we gave him what he wanted.

How did you finance this deal?

Investor who made close to 20k in a year!

How did you add value to the deal?

The entire home is remodeled, which contributes greatly to the community and the new home buyer!

What was the outcome?

I made very little on this deal but learned a great deal on flipping properties.

Lessons learned? Challenges?

Added way to much that made it a negative deal for me but my investor was happy and they still invest with me today.

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

Nicole Bruckner