I became a licensed realtor during my first flip in Newark NJ

[Alan Nellis]

Investment Info:

Small multi-family (2-4 units) fix & flip investment in Newark.

Purchase price: $73,000
Cash invested: $150,000
Sale price: $290,000

Large two family residence. Full gut job, oil tank removal, and finished basement. Complete renovation electrical, plumbing and sheet roc. Two kitchens, three bathrooms.

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

I hoped I could break into the business with a start company that would help transform a community.

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

I found this deal thru a partner of mine via the mls. We offered the full asking price and the deal was accepted.

How did you finance this deal?

We used our own money to start the company and hard money to finance our first deal.

How did you add value to the deal?

I am the CEO of my organization and during this project I acquired my real estate salespersons license.

What was the outcome?

We successfully completed the flip and sold the house for the highest price at the time. However we did not make a profit on this project.

Lessons learned? Challenges?

I began the long process of learning this business from the ground up. I also learned what the term "skin in the game" really means!

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

We had a real estate agent working with us but I felt I could do a better job. Since I had so much skin in the game I believed know one could give my project the attention to detail that I could.