Share Your Success! Pics, Flips, and $$$

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In a recent project of ours, we found ourselves dealing with hoarders, animal and human filth, and years of neglect.  We have had to do substantial gutting of the property, spray every surface with bleach, and leave the windows opened for months to remove the smell.  Ultimately, we ended up having to prime all surfaces including subfloors to get the smell of cat urine out of the house.  

In my decade plus of investing experience, and my dozen years as a firefighter, I have been in some absolutely stomach turning houses.  This house was the very first where I threw up immediately from the stench and threw my shoes in the garbage can before entering my home after walking through this house for the first time.  

Quick summary.  3 family.  Purchased for $120k.  At the time, this was about 80k below market value.  This property had two 400+ lb hoarders living in it who neglected to clean for years.  The property had 17 cats in it when we bought it, and dozens of stray cats that were regularly fed.  After our closing, we had to kick the previous owners off of the property because they continued to feed stray cats and leave the empty cans all over the property.  

The pictures tell the story better than I can, but the basics are this. We sank about 80k into this property which is in a great town.  We put all high end appliances in, rewired substantially, and did some modern finishes sparing nothing to get the units tip top with appealing kitchens and baths along with curb appeal. This property now brings in rents nearly double that in its market making it one of our best cash flowing properties.  It has been a great investment, and was recently appraised at just over $350k after our purchase of $120k and our $80k renovation.  

This is typically the type of work that we do.  Buy a dilapidated, under performing multifamily, perform a substantial renovation, and add it to the expanding rental portfolio of sought after, modern units.  This one in particular was a great story just because of how far it came from where it began.  

Here is a rehab I sold a few months ago in Fayetteville, NC.  I GOT THIS DEAL ON BIGGER POCKETS!!!! Here is how:

I posted a video on bigger pockets of one of my rehabs.  Someone brand new to bigger pockets responded that her mom owned a very similar house and that the tenants were moving out and she didn't want her mom to deal with the aggravation of fixing it up - it was really dated.  At first her mom wanted to fix it up long distance.  I kept in touch with her and she decided it was too much for her.  I bought this house and never met the owner nor the daughter.  We just communicated via phone and email.  I sold this house before the counter tops were on because my contractor was able to show them the pictures of the "same" house I did a few months earlier.  Key Point:  You have got to let people know what you do for a living!!  Thank you Bigger Pockets!!!

Here's a quick video of one of our recent flips at 7921 Buddingbrook Dr. Fayetteville, NC (Rayconda Subdv). Working on another as we speak so we are extremely excited about this. We typically sell our homes within 24-48 hours but I want to do something a little different this time when we are ready to place it on the market. I own all of the furniture so I stage our homes to give the property some more life. I've given up a few pieces during the contract phase but I don't make that a habit. :)

Been MIA for a while....Here's my latest project.

Purchase price was $300k. 

Full remodel cost including labor, closing costs, utilities, etc... $50k 

Commissions: $11,250

Listed for $450k. 

Potential Profit: $88,750

The entire project took 4.5 weeks from start to finish. This was a 5 bed/2 bath 1966 sq ft home. Features include new waterproof/scratch proof laminate floors throughout, new carpet in the bedrooms, quartz counter tops, white shaker kitchen cabinets, high end Samsung appliances, video doorbell, Ipad control station, 2 large living rooms, LED lighting, new windows, floating bathroom vanities, a huge walk in laundry room, tons of closet space and a spacious yard.

BEFORE: 

AFTER:

I must start by saying thanks to everyone on bigger pockets for the inspiration to get involved in real estate. Since I started in 2016 I have done 2 flips and one buy and hold. 

My last buy and hold:

Bought a 2 unit building for 56k converted it into 3 units. Rehab cost = 55k. Renting all three units for 3,100 monthly. Expenses monthly = 1640. Monthly profit = 1460.

Before:

After:

Bought a property in Ohio about 22k put about 25k in it. Sold it to a cash buyer about 10k under market value to profit 30+K. Sold it fast and was aggressive with price to get funds for other properties.

This post has been removed.

Katy Tx Fix & Flip

We called this the Cat Sanctuary.  The previous owner had 35 stray cats living in the home with him. He had cut holes in the ceiling and hoisted boards so they could freely roam the attic  at their leisure so you can only imagine the lovely aroma.  

Purchase Price= 115k

Repair Costs= 65k

Holding Costs=7k

Sales Price= 245k

Cat Santuary

Updated over 1 year ago

Forgot to mention we seller financed with 10% interest, 20% down balloon in 5 years

Sorry Guys!! This is my first time posting with images and looks like my link to slideshow for the above post wasn't viewable for some reason.  Here are some before and after pictures of the Cat Sanctuary.

Originally posted by @Jodi R.:

Sorry Guys!! This is my first time posting with images and looks like my link to slideshow for the above post wasn't viewable for some reason.  Here are some before and after pictures of the Cat Sanctuary.

Nice transformation!  Love how you saved the kitchen cabinets.  

Hi BP Community,
I have been involved with BP for Quite some time now and although as an attorney, I have done hundreds if not over a thousand deals as an attorney. However, as an investor I was a bit more cautious until I really got involved with BP. I just completed my first fix and flip project (closed) in Bellwood, Illinois. I have another project I'm currently working on in Logan Square which is a new construction, that I am hoping will have even better returns. I was fortunate enough to have a great team of contractors that I work with, They provided me with solid numbers upfront and stuck to them. Here are the numbers on this deal along with some before and after pictures:
3 BR, 2 Bath, 2 Car attached garage, 2104 square feet
Purchase Price (including closing costs) $82,184.00
Sold Price $209,000
Total Rehab Costs $60,000 – Kitchen update, both the full baths, new flooring on the main level, new carpet throughout the house.
Total Closing Costs (including commission): $16,637.00
Total Profit: $50,179.00 ($209k - $82,184 - 60k - 16,637)
Total ROI: 35.29%
Total Project time line: 10 months June 2017 - April 2018.
The Buyer was obtaining FHA financing. This was a multiple offer situation and there were multiple buyers who were offering in the same ballpark (give or take a thousand dollars). However, the Buyer's FHA appraisal came in at $192,000. That would preclude anyone who wants to buy in the next six months using FHA financing from Buying for over $192,000 since the FHA appraisal sticks to the property for 6 months. This actually turned out to be a good thing. I rented the property out and have a tenant at $1600/month. I decided that I would refinance using the BRRR method and use this property as my first rental property. I am expecting it will cash flow me at least $500 if not more.
Here are some before and after pictures. 

Hi Zach, 

Love this section, great to see how much others are accomplishing.  

Could you fix the pic rotation?  If I took a pic in landscape, the site wants to show it in portait.  See pic in this post.

Thanks, 

Originally posted by @Zachary Gwin :

Hey BP! 

So this thread is for you to share your success!

I want to show the world ALL the amazing flips/rehabs our members here on BiggerPockets are doing and have done. 

Here's what YOU'VE got to do -

Upload Before & After pictures of your projects, give a brief description of the property w/ location and (if possible) provide some basic numbers - Purchase price, Rehab, ARV, Net Profit.

These images may very possibly be shown on the BiggerPockets social media accounts (Facebook, Twitter, Instagram, Pinterest, etc...) So bring your BEST! 

Lastly, make sure to Like our FB page and follow our other accounts @biggerpockets !!! 

Can't wait to see all these rehabs!

Originally posted by @Jodi R..:

Sorry Guys!! This is my first time posting with images and looks like my link to slideshow for the above post wasn't viewable for some reason.  Here are some before and after pictures of the Cat Sanctuary.

Hey Jodi, 

Hey @Jodi R. I'd like to feature this flip as a video for BP YouTube & social channels. Do you have numbers and deal info on this? How you purchased, purchase price, rehab, expenses, profit?

I purchased a 1900's typewriter shop on a main Avenue for 46k land contract.  The property owner wanted 56k with 3k down. I offered 5k and he agreed.  The most humorous part about this deal was the walk thru was done with a local realtor and the 55 year old son was IN the property surrounded by pot seeds and beer cans... I looked at the realtor and asked: "Does he come with the property " and we both laughed 😂. That realtor is still my friend today. Long story short I had a 5 year balloon @ 6% interest and I paid off the house in 3 years. Now it is a 6 bed, 3 kitchen, 3 bath property values at 169k and I use it for student housing 6 x 400-500 per room. I did NOT use contractors and i am a co owner with Patriot Plumbing & Electrical.

Thanks

Brad L

One of the better single family deals we've done...  in Radnor, PA.  This is what real estate dreams are made of. 

We purchased a very old dilapidated home in Radnor for $170,000 which had a large side yard.  The home was renovated for $250,000 and once complete, rented for $5,200 initially, but with new tenants now paying $5,800 per month (appraised at $1,100,000).  But thats not all...  we subdivided the side yard and built a new house for $400,000 and just sold it last week for $1,300,000.  So from a $170,000 investment we created two homes worth over $2,400,000.   Our private lenders received all of their funds back with 7% per year on top and we put the rest into another single family subdivision in the same town to do it again.   Pics below:

Originally posted by @Christopher Lombardi :

One of the better single family deals we've done...  in Radnor, PA.  This is what real estate dreams are made of. 

We purchased a very old dilapidated home in Radnor for $170,000 which had a large side yard.  The home was renovated for $250,000 and once complete, rented for $5,200 initially, but with new tenants now paying $5,800 per month (appraised at $1,100,000).  But thats not all...  we subdivided the side yard and built a new house for $400,000 and just sold it last week for $1,300,000.  So from a $170,000 investment we created two homes worth over $2,400,000.   Our private lenders received all of their funds back with 7% per year on top and we put the rest into another single family subdivision in the same town to do it again.   Pics below:

 Wow, now that's what I call a flip!!!  A $250K rehab, amazing work, what was the timeline?  

Thanks Chad,  it took a number of years.  We purchased the property in 2013 and had the first house completed and rented a year later.  We then went for the subdivision which was completed in 2015 but didnt end up starting on the second home until last year because we were busy with other projects.  

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