Investment Info:
Single-family residence fix & flip investment in Hummelstown.
Purchase price: $60,000
Cash invested: $40,000
Sale price: $112,000
Purchased half a duplex that needed a lot of work. Complete rehab; new roof, siding, and landscaping outside. New bathrooms, paint, doors, floors, and a whole lot more inside.
What made you interested in investing in this type of deal?
I like a challenge, and the thought of doing a flip scared me to death. The only way to overcome that fear was to take a shot and dive right in.
How did you find this deal and how did you negotiate it?
I found this deal online as a regular MLS listing. The asking price was right around what looked like a decent number, but I took a shot and offered 10K below it. The seller just wanted out and took my offer.
How did you finance this deal?
I used the equity in my primary home to purchase and rehab the property.
How did you add value to the deal?
Sweat equity... I worked myself senseless to pull this off.
What was the outcome?
I didn't make a lot, but I learned a lot.
Lessons learned? Challenges?
Crunch the numbers; be realistic; don't give up.
