All Forum Posts by: Todd James Denman

Investment Info:

Small multi-family (2-4 units) fix & flip investment in Somerville.

Purchase price: $629,000
Cash invested: $415,000
Sale price: $1,350,000

Bought a 2 family home and gut renovated it into two condos.

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

The average sale price of a multi family is much lower than a condo so I new there was tremendous upside if we renovated it and converted it to condos prior to selling it.

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

It was on the MLS.

How did you finance this deal?

Traditional financing for the purchase and private hard money for the construction costs.

How did you add value to the deal?

Totally renovating the 2 family home into two condos. Added living space in the basement for unit 1 and a roof deck for unit 2.

What was the outcome?

Sold both condos for over asking price in the first week on the market.

Lessons learned? Challenges?

Use larger construction crews to get the job done quicker and reduce carrying costs.

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

Yes. I am the real estate agent and we used James Hirbour from Jeanne D'Arc Credit Union for the mortgage and had a great experience.

Investment Info:

Single-family residence fix & flip investment.

Purchase price: $325,000
Cash invested: $170,000
Sale price: $705,000

Gut renovated the home and added a bedroom and bathroom as well as new plumbing, heating/cooling, roof, siding, kitchen, baths, driveway, landscaping, floors, trim, and paint.

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

I knew that 3 bed 2 bath homes were selling like hot cakes in that neighborhood.

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

It was on the MLS. I just made the best offer I could with the numbers that worked.

How did you finance this deal?

Traditional financing for the purchase and then got a private hard money loan for the construction costs.

How did you add value to the deal?

new plumbing, new electrical, new roof, new siding, two new bathrooms, new kitchen, new heat/ac, new driveway, new yard, new fence, etc. We also cleaned and staged the property prior to putting it on the market.

What was the outcome?

The home went under agreement in the first week $55,000 over asking price.

Lessons learned? Challenges?

Have the offer be contingent on getting the building permits.

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

Yes. Shant Banosian at Guaranteed Rate is the best lender out there.