Infinite return -- Perfect Fix&Flip

[Mathieu Gagnon]

Investment Info:

Single-family residence fix & flip investment.

Purchase price: $198,000
Cash invested: $1
Sale price: $380,000

Project summary
Asking price: 205 000$
City appraisal value: N/A
Purchased price: 198 000$

Purchase expenses: 2 650$
Holding cost: 6 642$
Rehab cost: 50 567$
Selling cost: 13 280$
Total costs: 271 139$

Sold price: 380 000$

Profit: 108 861$

Money invested: 0$

Return on invested capital: Infinite
Annualized ROIC: Infinite

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

The house was ⅔ finish.
It's was a brand new construction but the owner passed away.
Very nice to deal with brand new stuff.
Fair price with ok potential that turned out 45K more than expected

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

Neighbor of my parents

How did you finance this deal?

Refinance my parents' house.

How did you add value to the deal?

Complete the last ⅓

What was the outcome?

Infinite return on a 108 861$ profit.
My parents could clear the rest of their personal mortgage of 50K and split the rest equally with my sister!
A family deal!!!! Great

Lessons learned? Challenges?

I LUV auto-construction.

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

I listed the house and sold it with a collaborator

[Mathieu Gagnon]

@Anthony McEvoy Sorry for late reply.

My holding costs are:

-Interest on the line of credit

-City taxes

-Electricity

-Insurance