La Vista Wholesale buy, Wholetail Sale

[Owen Dashner]

This is a house we bought from a wholesaler in La Vista, NE (which is a suburb of Omaha) for $98K. We turned around and sold it on the MLS for $125K a week later after cleaning it. The investor we bought it from was planning to do some work to it and sell it retail, but he happened to get one of our letters in the mail and decided to call us and see what we would offer.

The house was located in a subdivision with mostly slab on grade and crawlspace type ranch homes with $110-125K price points. Some $150K split entry houses are sprinkled in the neighborhood as well. This house was unique in that it had a 400 sft addition on it, plus a basement (unusual for ranches in that neighborhood). We estimated the ARV to be in the $150K range, so we decided to wholetail it instead of doing the work and retailing it, because we would end up with roughly the same profit.

The house was in livable shape, but needed mainly flooring and paint, and some other minor repairs. We found hardwoods underneath the carpeting, so that was a nice bonus. And the kitchen was in pretty good shape as well.

Our only surprise on this one was that it ended up having termites, and required about a $1,200 treatment.

So roughly about an $18K profit after all soft costs and basically just cleaning it and treating for termites. On to the next!