Single Family Residence Flip

[Billy Daniel]

Investment Info:

Single-family residence fix & flip investment.

Purchase price: $74,000
Cash invested: $26,000
Sale price: $139,900

E Elm had some pretty severe water damage from a neglected water heater and roof. About 35% of the house was required to be taken to the studs. We replaced all flooring, upgraded the kitchen, added 64 sqft by opening a wall, and added a shower to make it two full baths.

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

Found using a local real estate agent and negotiated based on repair costs/estimates

How did you finance this deal?

Commercial Loan with interest only payments for first 6 months

How did you add value to the deal?

Added shower to upgrade to two full baths (vice 1.5), added 64 sqft by knocking down a wall to an attached storage room.

What was the outcome?

Sold on first showing with a full price offer

Lessons learned? Challenges?

Previous owner was a DIY kind of person. However, he apparently never watched any Youtube videos to educate himself on the best or correct way to do things. The small fixes really began to add up at the end of the project.

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

Emily Daniel with River Valley Realty