First Flip in Melbourne, Florida

15 Replies

Investment Info:

Single-family residence fix & flip investment in Melbourne.

Purchase price: $102,500
Cash invested: $39,000

Single-family home in growing West Melbourne on large lot. Adding one master bedroom and master bath.

What made you interested in investing in this type of deal?

Location and purchase price which allows for multiple exit strategies to include BRRRR. Great potential for appreciation in a growing community due to Space X and other companies that provide services for the Federal Government.

How did you find this deal and how did you negotiate it?

Found a great agent the found the located the property and assisted with price negotiation.

How did you finance this deal?

Using hard money.

How did you add value to the deal?

Will be adding a master bedroom, bath, and converting part of the garage to a laundry room still allowing for two cars to fit inside. Once completed I will be adding 505 sq ft to the property.

What was the outcome?

Still working on the deal. The rehab should be completed in March.

Lessons learned? Challenges?

So far I learned I realized the importance of having great people on your team. The real estate agent I found is top-notch. With her insights and assistance, the deal would not have gone through.

Did you work with any real estate professionals (agents, lenders, etc.) that you'd recommend to others?

I am working with an agent, architect, and subcontractor.

@Christian Ryan Was this an off-market deal? The market in Brevard is ridiculously inflated right now (as I'm sure a lot of markets are). But yes, I think it's a great area to invest in. So many big (and small) companies aerospace/defense companies are continuously expanding and hiring more people.

Best of luck, I'd love to see how it turns out!

This is an interesting, and potentially profitable, investment.  There are a lot of houses that are structurally or functionally obsolete, and having a plan to bring them into the current demand is a great idea.  I can't wait to see your photos!  

@Christian Ryan

That’s awesome! Question for you, do you recommend any CPA or lawyer for getting started? My husband and I are trying to get into the game, but we’re going to need to partner with someone to get enough funding. From what I’ve read, we’ll need to talk with a CPA and lawyer to make sure we protect ourselves. Any insight you have on this would be great!

Originally posted by @Michelle Yoder :

@Christian Ryan

That’s awesome! Question for you, do you recommend any CPA or lawyer for getting started? My husband and I are trying to get into the game, but we’re going to need to partner with someone to get enough funding. From what I’ve read, we’ll need to talk with a CPA and lawyer to make sure we protect ourselves. Any insight you have on this would be great!

As a CPA I think it is prolly better to get other members on your team before you consider a CPA/Attorney.

You likely want to find people who will make your business successful(Agent, Contractors, etc)
I would suggest speaking with an attorney/CPA when you are very close to getting your first deal.

If you have specific questions regarding taxes - feel free to reach out.

Good luck!

 

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