First One Was A Home Run!

[Derrick Spires]

Investment Info:

Single-family residence fix & flip investment.

Purchase price: $117,600
Cash invested: $29,400
Sale price: $179,000

Started my investment group with 4 partners. This property was a Sheriff Sale property that we were able to pick up for a great price (65% of ARV) knowing that the rehab costs would be minimal. Would have completed the project more quickly but we did the work ourselves between our full time jobs and holidays. Was under contract at full asking price inside 35 days of purchase netting $32,000 in profit!

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

Been looking to get started with this for years and took the opportunity with COVID costing my corporate job to make the move.

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

This was found at a Sheriff Sale foreclosure auction so no negotiation was necessary. Having my RE license, I was able to complete a bunch of due diligence on the property prior to the auction and see an opportunity that other investors weren't jumping on.

How did you finance this deal?

Our investment group paid cash by combining our personal assets.

How did you add value to the deal?

Mostly surface cosmetic updates such as new trim, paint, and minor exterior cleaning/fixes.

What was the outcome?

We had the home under contract during the first 6 days on the market at full asking price.