Baltimore Fix N Flip Deal
Investment Info:
Single-family residence fix & flip investment in Baltimore.
Purchase price: $96,000
Cash invested: $34,000
Sale price: $340,000
The renovation was a full three story bump out. The traditional rowhouse was originally 780 sqft the renovation involved adding roughly 900 additional sqft and opening everything up with a master bedroom and bath on the third level. Spent about 140K in the renovation. I also took advantage the the Chap tax credit the city offers to keep the taxes frozen at the as is value for 10 years which stays with the property and benefits the buyer.
What made you interested in investing in this type of deal?
The opportunity to create alot of value.
How did you find this deal and how did you negotiate it?
Found on CL, reached out to the person who posted the ad.
How did you finance this deal?
Local Bank
How did you add value to the deal?
Added 900 sqft of additional space and opening up the floor plan
What was the outcome?
Purchase price was 96K spent 140K in scope of work, spent 13K in financing costs and $17K in realtor commission. The sale price was $340K gave the buyer 5k in closing help.
Lessons learned? Challenges?
Dealing with the permits and approvals in Baltimore City. Also had some challenges with the contractor staying on a time line. At the end of the project actually had a subcontractor flood the house the day before the house was suppose to get the listing photos taken.
