First Fix and Flip Property
Investment Info:
Single-family residence fix & flip investment.
Purchase price: $158,000
Cash invested: $10,000
Sale price: $230,000
3 bed, 1.5 bath home in need of major cosmetic updates. Would have "flipped" this one faster if we weren't working 2 full-time jobs, raising 2 boys and pregnant with another one. Still a healthy profit though!
What made you interested in investing in this type of deal?
Wanted to try our hand at a fix/flip. This one was listed on the MLS but not highly visible so there wasn't much competition for it in a hot seller's market.
How did you find this deal and how did you negotiate it?
Craigslist originally, hard to find on the MLS due to listing errors.
How did you finance this deal?
Local hard money lender and private rehab funds
How did you add value to the deal?
Complete cosmetic rehab, husband acted as general contractor
What was the outcome?
Sold "by owner"
Lessons learned? Challenges?
We sold to the first couple who made an offer. Originally their offer was $240,000 but we had challenges with the appraisal due to them being FHA buyers. Since we were selling the home without an agent, we didn't understand the challenges that could bring. In the future, we'll probably find an agent and have better luck marketing our property to a wider range of qualified buyers.