Updated over 5 years ago on . Most recent reply
My First Fix and Flip
Investment Info:
Condo fix & flip investment in Towson.
Purchase price: $130,000
Cash invested: $180,207
Sale price: $205,000
Purchased a condo for cash and completed a fix and flip. Cash invested includes acquisition, rehab, carrying, and sales costs.
What made you interested in investing in this type of deal?
I have a background in interior design and I was itching to put it to use on my own investment.
How did you find this deal and how did you negotiate it?
It was listed on the MLS. I am an agent, so I negotiated my own deal.
How did you finance this deal?
I didn't finance. I had some cash reserves making almost no return, so I decided to put them to use.
How did you add value to the deal?
I renovated the condo.
What was the outcome?
Gross profit was about $25,000 and I learned a lot.
Lessons learned? Challenges?
I learned about working with contractors, specifically, how materials budgets work. My only challenge was a 1 month delay in construction because the units in this building (1975 high-rise construction) didn't have individual water shut off valves, so in order to do plumbing work, we had to wait for the building to shut down water to the entire tower. They only did that once every 3 months, so my 1 month delay could have been a 3 month delay, with condo fees accumulating. I was lucky!
Did you work with any real estate professionals (agents, lenders, etc.) that you'd recommend to others?
I was an excellent real estate agent for myself! :) I've since hired a better stager, though.
