Townhome fix and flip

[Larry Lee]

Investment Info:

Townhouse fix & flip investment in Fairfield Glade.

Purchase price: $165,000
Cash invested: $95,000
Sale price: $375,000

We found this home on the MLS. The owners inherited the property out of state,and were tired of paying the HOA dues. After running comps on the property we decided to do high end finishes on the home. The rehab took around 120 days, and we subbed out the work ourselves.
We are very excited with the end product. It went live on the MLS today!

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

Our real estate agent let us know that Townhomes were really popular in the area as a retirement community. The residents liked the idea of no outside maintenance.

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

On the MLS. We negotiated after getting an inspection on the property. We got an estimate to fix some of the unexpected cost found in the inspection and we cut the cost in half with the owner. It knocked about an extra $10k off the deal.

How did you finance this deal?

Local Bank. 12 month interest only at 4.99%

Lessons learned? Challenges?

If it is possible know what agent you are going to list the property with and build a close relationship.we talked with our agent a lot during the rehab and got her personal opinion on some colors and choices. She really owned the rehab and took pride in picking certain things out. I believe when a sales professional believes in a product they will sell it with conviction,and the customers will feel their excitement in the home.