My first house flip in Ottawa IL

[Chad Olson]

Investment Info:

Single-family residence fix & flip investment in Ottawa.

Purchase price: $40,000
Cash invested: $72,500
Sale price: $102,500

My first flip with my dad. Came with an extra lot. Learned a ton. I wanted to hire out more work to get done faster, but my dad quickly took control. Told me you can't make money flipping while hiring the work out. I hope I can prove him wrong in the future. Didn't really make as much as i was expecting, I feel like we sold it at the wrong time and for too cheap.

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

Lived in a construction trailer for a year and flipped it while living in it. Made 5K with very little work, because I got such a good deal on it. And just always had interest in Real estate.

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

Found it on the MLS. They wanted 60k we offered 40k and they accepted right away

How did you finance this deal?

My dad invested almost all of the money, I put in 2k

How did you add value to the deal?

Almost full gut, landscaping, foundation repairs, bunch of drywall, new water heater, 4 new windows, new kitchen, new bathroom, new floors and paint. We even took out a wall to make it more open feeling, did most of the work ourself's.

What was the outcome?

We made money just not as much as I thought we would

Lessons learned? Challenges?

Working with your dad can be frustrating, if only we had communicated better. My ARV was off slightly due to close to railroad tracks and alleyway on the side of the house that wraps around the back

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

We (me and my friend who had several rentals before 2008 happened) walked about 40 properties with an agent. Larry Windsor(realtor), I think he might of retired