Quickest Deal I've Done

[Danny Frye]

Investment Info:

Single-family residence wholesale investment in Fayetteville.

Purchase price: $29,000
Cash invested: $29,000
Sale price: $45,000

I closed less than a week after the assignment went through, and sold within hours of picking up the keys.

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

Cashflow with less liability and longevity.

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

Someone posted in my neighborhood Facebook page that they were looking for a real estate investor. Turns out the woman in my neighborhood's ex-husband had passed two years ago and their kids lived out of state. She wanted $35,000 for the house. I was not interested initially, but had investor clients that were interested.

How did you finance this deal?

Bought it for cash, and personally financed it to the buyer.

How did you add value to the deal?

I had several inspection reports and estimates completed as if I were going to fix it. Nothing else.

What was the outcome?

One of my investor clients had this off market deal under contract for $31,000 and decided to pass on it. I gave them $250 to assign the contract. Once the assignment was executed, I submitted it to the sellers attorney with an amendment to drop the price to $29,000 and it was accepted.

The day I picked up the keys, a REALTOR friend of mine offered me $45,000 if I would owner finance the deal to him. We got 20% or $9,000 down, and financed it for 12 years for 3.75%. Monthly cashflow is $310

Lessons learned? Challenges?

Look for the quick sale. Sometimes it is out there.

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

I am a Real Estate agent, and my wife is a Home Inspector.