Investment Info:
Single-family residence fix & flip investment.
Purchase price: $1,255,000
Cash invested: $272,000
Sale price: $1,790,000
Fix and flip of a 1+ acre property in Escondido, CA. Full interior renovation including new kitchen, baths, flooring, paint, lighting, and custom detail work throughout. Exterior work included roof repairs, termite clearance, septic tank repairs, new pool equipment, new artificial turf and lots of landscape cleanup.
What made you interested in investing in this type of deal?
I fell in love with this particular property the minute I saw it. It had previously been owned by a NFL player and apparently was being used as a short term rental. However, it had been neglected and had significant water damage to a few of the interior rooms and a lot of deferred maintenance. There was just so much potential to create a beautiful space and unique property that I had to go for it.
How did you find this deal and how did you negotiate it?
I found it through a wholesaler.
How did you finance this deal?
Pledged Asset Line for the purchase and then my cash for the renovations.
How did you add value to the deal?
Through the renovations of the property.
What was the outcome?
The outcome was a turnkey residence that I was extremely proud of. The quality of the finishes and level of craftsmanship were evident and we received multiple offers and sold for very close to our list price.
Lessons learned? Challenges?
This property was a bit far from my home and office, so it took quite a bit of time for me to make trips to visit and keep an eye on the progress. I think I will keep my projects closer to home until I have a project manager who can visit properties that are this far away from my home base.
Did you work with any real estate professionals (agents, lenders, etc.) that you'd recommend to others?
I represented myself as the Realtor on this transaction.
