Fix and Flip #15 - First rehab through local wholesaler

[Gus Muller]

Investment Info:

Single-family residence fix & flip investment.

Purchase price: $199,000
Cash invested: $65,000
Sale price: $342,000

Fix and Flip #15. First purchase from a wholesaler who charged a $9K assignment fee. Home was in very rough shape and had been neglected for 20+ years, but did have a nice kitchen and main floor bathroom, large lot, and amazing original woodwork. Total project time 6 weeks purchase to listing. The neighbors were thrilled to have the worst house on the block become a shining gem!

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

This deal had a great lot, location, and potential. It was a ton of work as the home had been neglected for 20+ years. It did have a nice kitchen and main floor bathroom, but needed a roof with decking, garage siding, full interior paint, upper bath light remodel, basement concrete, AC unit, etc.

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

Networked with a local wholesaler who brought it to me. Not much room for negotiations as sellers had a mortgage to payoff, and they left the closing table with a check for $29.

How did you finance this deal?

Personal cash/HELOC

How did you add value to the deal?

Full rehab

What was the outcome?

Project took a lot longer than expected and cost more than anticipated, but was still a great and rewarding revitalization.