All Forum Posts by: Corbin Hicks

Investment Info:

Single-family residence fix & flip investment.

Purchase price: $188,000
Cash invested: $58,000
Sale price: $269,900

First Flip with my friend gone poorly. I think it’s good to be transparent and have some humility. This flip went poorly across the board. Everything you could think of that is poorly prepared and executed happened. Mix in some bad luck and bad relationships involved & we get this flip. Ended up actually taking a small loss on this but many good valuable lessons learned from it. I never want something like this to happen again I’ll push to be more surgical with my fix&flip projects ahead.

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

The property seemed like it had good potential had a reasonable price for a flip.

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

My friend presented it to me and wanted to partner up on it.

How did you finance this deal?

Hard money loan. Went 50/50 with my partner.

How did you add value to the deal?

Ended up renovating this house completely. Did way more work than expected.

What was the outcome?

First time taking a loss on a flip.

Lessons learned? Challenges?

It's a tough pill to swallow. A few of many lessons learned though; don't use general contractors that are just recommended by people (actually get a feel of their work long term). If using a gc, then get very specific on what work is being done (they especially can get you on "misc" charges & not do any real misc work), get a better spread to begin with Don't be a great house in a not so great neighborhood.
Lastly, I have my RE license now so some of the issues on that end will work better.

Investment Info:

Mobile home fix & flip investment.

Purchase price: $125,000
Cash invested: $45,000
Sale price: $212,000

Don't let the numbers fool you! This mobile home flip was on an acre & was not in bad shape so it was a great entry price. However, my dad and I worked with a general contractor that a friend of ours recommended & it ended up being a hickey on our profits. To summarize - horrible communication, bad pricing, and hiring workers they didn't even know personally. The hidden costs came from $ offered for closing & $ to buyers after the inspection came back saying more work was needed.

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

The entry price and condition made sense.

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

My wholesaler friend. It was priced fair so there was not any negotiations. It was a first come first serve so we drove out to quickly look at it and then signed DocuSign papers.

How did you finance this deal?

Hard money.

How did you add value to the deal?

New paint interior & exterior, skirting, decks, bathroom alterations, flooring & carpet, fixtures, plumbing, HVAC, and some windows.

What was the outcome?

Netted about $10,000 on the flip and learned about ways to "Cross our T's and dot our i's" more so.

Lessons learned? Challenges?

A main/big one ~ Consider getting your own contracts early on for contractors and include timelines and specifics with work being done.
Overall though this was my first purchased property and doing it with my dad made it a good bonding experience. We got to put a decent bit of sweat equity into it as well. It was a fun time.

Investment Info:

Single-family residence fix & flip investment in Alvarado.

Purchase price: $190,000
Cash invested: $17,500
Sale price: $258,000

Got this deal from a friend of mine who wholesales (Angel Lopez with New Western). A 1 out of 50/100 kind of deal. This was a 2014 build on an acre in the city of Alvarado (just south of DFW) with only a new roof and cosmetic updates needed. Updates were quick and easy and then received a cash offer which led to a fast and easy closing. Listed this property myself so avoided commission on the Listing Agent side of things.
Wouldn't it be nice if all deals were this easy?!?

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

The Discount with how young the house was and how great of shape it appeared to be in.

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

Angel Lopez is a friend of mine that works for New Western in the DFW area. I got the packet and saw there were no cracks in any of the walls, no water stains, and overall the people living there seemed to treat it nicely. Thus, I bought the property sight unseen (it was a first come first serve).

How did you finance this deal?

Hard Money Loan. I have been using CapitalFund1.

How did you add value to the deal?

Junk removal, New Roof, New Carpet, New fixtures, Cut grass/clean up house

What was the outcome?

Cash offer for $258,000. Solid profit (around $40,000)!

Lessons learned? Challenges?

Sometimes it's alright to trust your judgement and buy unseen if it makes a lot of sense.
I also have been learning that I love to buy around the outskirts of the DFW and this property further cements my niche interest.

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

I listed this one myself. Though I can also recommend my buddy Angel Lopez the wholesaler who brought me this deal. Also can refer Luis Cota the man I have been working with for HML's over at capitalfund1.

[email protected] 

Please send me your list and add me to it! I am newer to the wholesaling side but am active in the space now

Hopefully y'all do another one in the near future!