First Flip Completed Successfully! W/ Pics and Numbers

213 Replies

My team and I sold our first flip today!

Started diving head first into real estate in the beginning of 2018 and haven't slowed down since. We found this deal from a DM Campaign. After a few campaigns with no results, one in May finally stuck. Biggerpockets has been an incredible source of information and this wouldn't have happened without the community.

Front view: (Packed the Prius full)

Rear: (Bay Grasses turned out great)

Kitchen:

Master Bath:

Roof:

Here's about 3300 letters that I proudly lick!

Numbers:

Purchase- $108,000

Rehab- $70,000

Holding- $3,200

Sold Price- $288,000

Profit about 27% off of sold price.

Thank you to all who helped me throughout the Journey, greatly appreciated. Now we are looking to put our 2nd and 3rd property under contract this month. Possibly even a fourth if I have any funds left! If you're in the Annapolis area, reach out anytime- I'm definitely looking to get some sort of master mind group together to bounce ideas off of!

Congrats Ken! That's one hell of of a success, and what a great job on the remodel. Absolutely wonderful. Keep it up you guys!

That kitchen island is badass and I'm SUPER impressed (jealous) with that custom walk in shower! Awesome job and one heck of a return

Looks beautiful. Nice work!!

Hard work finally pays off. I hope you did not eat 3000 grams of glue...…  That is the part I do not like to do...

Congrats!

What was the total number of hours you spend on it?  I measure return is what is my hourly earning rate?

Sam Shueh

Thanks for sharing this Ken and congratulations on your first deal! You have to feel good about getting that first one on the books.

 How long did the rehab take and did you run into any surprises you hadn't planned for? How many days was it on the market prior to the sale?

You ought to be proud of yourself, Ken. You did it and you did it the best way possible. There's the good steel in you, unlike too many others who think it's something other than it is, brutally hard but honest work. Congrats!!!

@Peter Fennig thank you, the Island was built by a business partner who is a carpenter by trade. The shower we were able to lengthen from 6 feet to 8 feet by taking down a wall that was nothing but 2 feet of empty space. I guess they framed it in to make it easy to fit a 6 standard 6 foot tub.

@Rich McElaney thank you Rich. Not really any big surprises. The house was built in the early 90’s which was advantageous to less surprises. An equity partner is an experienced contractor so he was able to walk through and estimate expenses before he rehab. He estimated $70,000 and we came in just under that. The buyers inspection came back on some minor things that we were surprised needed to be corrected, but we just did it anyway and didn’t argue.

From closing to sale it was exactly 3 months. Was on market for just under two weeks.

@Ken Nyczaj amazing, amazing work! May I ask how big your team is? You mentioned an equity partner, were they an LP in this project or a full partner? How long did the project take from closing purchase to closing sale?

@Sam Shueh the glue is my favorite part! JK, I now use an adhesive stick after having a glue taste in my mouth for weeks.

Honestly, I didn’t track my time as much as I should. We are just getting started and I didn’t want to focus on perfection but just action. I’m our acquisition manager and I can say the longest part was building the list through looking at dock sheets, parcels, D4D, etc. Printing and creating the envelope took time too but we are going to find someone local to do that part, I’ll continue to build the list as I see it being the most important part.

If I had to guess, if I worked four straight weeks, 8 hour days that would have gotten us our first deal. That being said, I didn’t work straight through as I have a full time job where I travel, and I was very inefficient at first.

Thanks for your reply

Looks amazing!

@Jim K. Hey Jim, Thank you for the kind words. You definitely gave me some insight early on and I can't thank you enough. On the next one I may ask to bend your ear again!

The work is hard and without a trained eye and skilled business partner we would have failed before we started. I can't underestimate how important it is to build the right team around you.

Good luck up there in Pittsburgh. Great city with great, hardworking people.

@Carver D. Jarmon III Appreciate it! The business partner who did the majority of the work is a carpenter by trade, but also did the electrical and plumbing which wasn't too intensive for this project.

@Ken Nyczaj Great job, looks amazing! I love to see old cabinets painted and restructured to fit the new space! The built in around the fridge, the new cabinet above the microwave, the crown at the top of the kitchen soffit above the cabinets (to make the kitchen feel larger), and of course the island! The walk in shower is amazing, and the handle in the front is pure genius!!

@Rich McElaney actually Rich to further answer your question about surprises, I can honestly say I was surprised at first as how many letters it took to get the first deal. I think in total since starting marketing in Jan 2018, maybe 2,000? I can't remember exactly, all the glue has fogged my brain.

I can say though, success seems to happen right after when you're on the verge of giving up. You just have to push through.

@Ken Nyczaj I've done a ton of direct mail in my past and the old saying is it is the only medium where you could fail 98% of the time and still get ROI! (You proved that at an even lower rate!) It's part art and lots of science (especially measuring results and acting on the measurements.)

Awesome work! The house looks gorgeous, as well as the numbers!

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