This deal was a great opportunity for us to launch our business as 3 SHADES LLC! We met originally at a Biggerpockets meet up here in West Sacramento and we were able to start our business off with a win!

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

This deal was brought to our attention by a wholesaler who was an old military friend of the owner. Our team was looking to do our first deal as a group and frankly, this deal had enough meat on the bones that we would be able to weather any budget increases along the way

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

The deal was found by a local wholesaler

How did you finance this deal?

We financed the deal with a HML. At the time we were able to acquire the property for 10% of PP, 10% of rehab, 2 "points", & 6 months prepaid interest (about 12k). ((Those terms are seemingly impossible to find in todays current climate with COVID-19))

How did you add value to the deal?

We did a complete overhaul of this home. From foundational repair getting the pre-existing addition up to par and accounted for on the tax record. Floor joists, all the way up to the roof we did it ALL.

What was the outcome?

Outcome was great!!! While we overshot our budget by roughly 20% we had enough equity baked into the deal that all parties were able to walk away with a solid profit. The home itself sold literally DAYS before the bay areas stay at home order in response to COVID-19 so we were lucky in that respect. The home broke a record for the "College Park" subdivision in Vallejo as a single story home.

Lessons learned? Challenges?

Working with new teams will always be a challenge, but between myself, my partners Katlin and TJ, as well as our contractor, we were able to get the job done in a timely manner and stay within our original time line for the sale. Some aspects of the scope of work were "left to interpretation" and as a team we need to work harder to be able to set those nuances in stone.

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

I was the agent representing the seller and our team as the buyer. I recycled those commissions into the deal, and sold it on the back end at 1% to allow our team to hold onto as much of our profit as possible. We worked with a local contractor based out of Livermore who was referenced from another agent in my brokerage. Our hard money lender was key as well.

PHOTOS: https://www.amazon.com/clouddrive/share/VZnyDoLsVVYsM1onQBISghOpw019hJQReRWrrwMtRcn?_encoding=UTF8&%2AVersion%2A=1&%2Aentries%2A=0&mgh=1