All Forum Posts by: Moises R Cosme

Investment Info:

Single-family residence fix & flip investment.

Purchase price: $168,000
Cash invested: $45,000
Sale price: $247,000

MOVE IN READY, ranch style home with a flexible floor plan. On the main level completely renovated eat-in kitchen with upgraded granite countertops and Energy Star stainless steel appliances. New tile flooring, refinished hardwoods. On the lower level two brand new rooms with fresh carpet and a full bath. Brand new high efficiency furnace, and laundry hook ups. Newer roof. Giant Detached two car garage, large level backyard space and a fenced in front yard. All this in a nice area.

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

I lived in the town for a long time & was familiar with the neighborhood; I thought the street was great, the house had fallen on hard times but I thought I could bring it back to life.

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

Found it on Auction.com, there is not much to negotiate on that site but I thought I got a fair deal and the investment worked out.

How did you finance this deal?

Hard money.

How did you add value to the deal?

Used above market materials; this property would normally sell for $220,000, I was able to get the additional $25,000 because we used higher quality materials. The quality of the materials and finishes added value since we recouped a multiple of our costs with the final sale.

What was the outcome?

Found a great family to buy the house & they love it!!!

Lessons learned? Challenges?

City of Fitchburg has some peculiar codes, as soon as I realized there was some learning to do I took a step back spent time with the building department and planned the project a little differently than I initially thought.

Investment Info:

Single-family residence fix & flip investment.

Purchase price: $168,000
Cash invested: $45,000
Sale price: $247,000

MOVE IN READY, ranch style home with a flexible floor plan. On the main level completely renovated eat-in kitchen with upgraded granite countertops and Energy Star stainless steel appliances. New tile flooring, refinished hardwoods. On the lower level two brand new rooms with fresh carpet and a full bath. Master Suite?? In-laws? Brand new high efficiency furnace, and laundry hook ups. Newer roof. Giant Detached two car garage, large level backyard space and a fenced in front yard. All this in a nice area.

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

I lived in the town for a long time & was familiar with the neighborhood; I thought the street was great, the house had fallen on hard times but I thought I could bring it back to life.

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

Found it on Auction.com, there is not much to negotiate on that site but I thought I got a fair deal and the investment worked out.

How did you finance this deal?

Hard money.

How did you add value to the deal?

Used above market materials; this property would normally sell for $220,000, I was able to get the additional $25,000 because we used higher quality materials. The quality of the materials and finishes added value since we recouped a multiple of our costs with the final sale.

What was the outcome?

Found a great family to buy the house & they love it!!!

Lessons learned? Challenges?

City of Fitchburg has some peculiar codes, as soon as I realized there was some learning to do I took a step back spent time with the building department and planned the project a little differently than I initially thought.

Investment Info:

Single-family residence fix & flip investment.

Purchase price: $150,000
Cash invested: $47,000
Sale price: $240,000

Spacious Colonial On A Large Lot, in a lovely area. Flexible Layout! Possibility of a Bedroom on the First Floor, if That is Not Necessary the Large Space would Be A Great Office or Playroom. Lots of upgrades! Gorgeous Kitchen with Upgraded Granite, Brand New Cabinets, New Energy Star SS Appliances, Peninsula with bar seating, Trendy New Tile and Plush Carpet Throughout, New Roof, New Furnace, New Oil Tank, Completely Repainted Throughout!!!

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

I am a real estate in the area and knew the neighborhood, the property came on the market and I thought it was a good opportunity.

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

Found it in the local MLS.

How did you finance this deal?

Hard money.

How did you add value to the deal?

Added value by making repairs to the property that exceeded the average Buyer's wants. Gardner is a blue collar town and most entry level Buyers are used to seeing laminate counter tops and basic appliances, we invested in higher grade materials to give entry level Buyers great value. The approach worked we sold for a premium price!

What was the outcome?

We did well, overall our return on investment was very strong.

Lessons learned? Challenges?

Learned to stick to my guns. Comparable properties in the market at the time of the sale were selling in the $220,000 price range, but I felt strongly that we would sell at a premium because of the level of renovation that we did. It took us a few weeks longer than the average to sell the property, but we got a premium price which compensated for the additional time.

Investment Info:

Single-family residence fix & flip investment.

Purchase price: $273,000
Cash invested: $120,000
Sale price: $536,000

Building one (29 Walnut St. Leominster, MA): 3 bed, 1.5 bath antique colonial, originally built in 1850.
Building two ( 31 Walnut St. Leominster, MA): Two family, 4 total beds, 2 full bath, antique colonial style originally built in 1850.

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

I am an Agent and have worked in & around Leominster for years, I knew the numbers made sense; sub dividing the lot was new for me, but I felt pretty comfortable with the risk.

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

Local distressed real estate agent called me and introduced me to the property, the property was being sold out of bankruptcy, so there were some unique factors. The listing was a short sale and had the additional step of being sold out of bankruptcy so it took 6 months to get the deal done. I negotiated based on the 'as is' price of the property at the time I saw, the property needed a ton of work and since the lot was not sub divided there was a lot of hidden value.

How did you finance this deal?

Used hard money.

How did you add value to the deal?

Sub dividing the lot was critical to maximizing the value of the property; we were able to sell the property quickly and for more money because as a result of sub division of the lot.

What was the outcome?

Happiness!!! This was our best project and I was able to sell it off market, which added to our bottom line. The original contractor on the project was not great, which made things a little stressful but ultimately the project was very successful so it worked out well.

Lessons learned? Challenges?

Learned that I needed to develop better systems and ultimately realized that I needed to bring on help to grow my business. Our record keeping was not great and we needed a lot of time on site which was difficult for me at the time because I was very busy with my normal real estate business. Ultimately, this project gave me the cash and experience to really invest in systems and people that have helped me get to the point where I am now a full time investor.