Our second fix and flip

[Neal Johnson]

Investment Info:

Single-family residence fix & flip investment in Longview.

Purchase price: $65,000
Cash invested: $28,000
Sale price: $114,000

We actually purchased this home to flip while flipping our first home. This was a little bit of a challenged and would not recommend it to newbies.

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

It peaked my interest because how cheap it was compared to it's ARV.

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

I found this deal off of Zillow, I did not have to negotiate the price. The offer I gave, the seller accepted it and we close on it a few weeks later.

How did you finance this deal?

I used a hard money lender. This was my first time using hard money.

How did you add value to the deal?

We completely remodel the home. It was built in 1950 and it did not look like it had been remolded since the 60s. Anything and everything you can imagine, we did to the home.

What was the outcome?

We came out on the positive side earning just enough to keep us at bay.

Lessons learned? Challenges?

We learned finding a realtor that is local to the area is key. It took us a year to get the home sold, because we over priced the home.