Investment Info:
Single-family residence fix & flip investment.
Purchase price: $235,000
Cash invested: $62,000
Property was a single family home! Need a cosmetic touch to gain profit. Rehab cost was $14,500.
What made you interested in investing in this type of deal?
Looking to build capital for short term/long term rentals. Then going into commercial deals like apartment complexes.
How did you find this deal and how did you negotiate it?
Found the deal through a wholesaler. Negotiated the deal down from 255K to 235k. We also got an additional 1k back once we closed and walked the property. The sellers left the house in worse condition than when we bought it. They let a water line leak and ruin the floors we didn't intend on tearing out.
How did you finance this deal?
Finance through Hardmoney Lending!
How did you add value to the deal?
We changed out floors, new paint, added a garage door, and repaired shingles on the roof. Then did a deep clean twice to add the finishing touches.
What was the outcome?
Walked away with a good profit because I didn't have to put much in from the start. Strategy is key!
Lessons learned? Challenges?
Vet more deals. Beware of your surroundings and areas to invest in. Also negotiate down as much as you can because you never know. Also add a buffer to any budget you set and then some more because you never know.
Did you work with any real estate professionals (agents, lenders, etc.) that you'd recommend to others?
I am a Real Estate agent myself. Although I did talk with other agents that were listing houses in the area. Good source of information to know how things went for them.
