First Off Market Flip

[Keith Thomas]

Investment Info:

Single-family residence fix & flip investment in Port Orchard.

Purchase price: $227,000
Cash invested: $80,000

Off Market deal. Came through networking with out of state wholesaler. It was was a mess full of dogs living there but had great potential. Used Hard Money got the loan. First time using hard money and also first time I partnered with someone as well. Things went great had a nice plan got a designer in to start the process and off to the races. Biggest takeaway for me is really getting your hard money cost in the deal. Those can really hurt your profit if the market is not super hot like it is now.
Buy 227k
Rehab 80k
Hard Money Fee/ Cost $13,090
insurance Vacant $ 2900
Repay Hard Money Loan $181,500
Sold 440k

profit after closing cost and realtor fees 80K

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

I had the capital and I did enough research and I didn't feel like I was gambling. I was investing in an asset that would give me a great return.

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

It was bought to me by a Realtor with whom I just met 2 days prior to this deal. I ran my numbers and saw the rehab and gave them a number.

How did you finance this deal?

Hard Money

How did you add value to the deal?

I gutted the whole house New Kitchen flooring, paint, plumbing ,appliances

What was the outcome?

Sold for a profit of about 80k

Lessons learned? Challenges?

Biggest Lesson is watch your carrying cost and hard money fees. They add up and take a lot away from your bottom line.

Did you work with any real estate professionals (agents, lenders, etc.) that you'd recommend to others?

Yes I did work with a Real Estate professional to sell the property.