Updated almost 3 years ago on .
Primary Residence Fix & Flip Success with lessons learned
Investment Info:
Single-family residence fix & flip investment.
Purchase price: $242,000
Cash invested: $125,000
Sale price: $492,000
Completely gutted and remodeled floor plan converting a 2bd/1 ba to a much much nicer 3bd/2bath! Sold right just a little before the big Nash BOOM $ but successful Fix and Flip as conventional primary residence purchase. Learned a lot around contractors, designing, architecture costs, materials affecting overall budget. Motivated me even more to become a realtor (as an investor, fix and flipper) as proper exit strategy would have been different for this deal
What made you interested in investing in this type of deal?
It's key to growing financially and successfully in Real Estate if you can manage to live through primary remodel.
How did you find this deal and how did you negotiate it?
I used real estate MLS websites and asked listing agent to see the house. Gave my price, negotiated again after inspection.
How did you finance this deal?
Conventional FHA loan
How did you add value to the deal?
Total Remodel
What was the outcome?
Beautiful! If better neighboring houses, would have stayed longer. Sold to very first people that wanted to see it
Lessons learned? Challenges?
Working with contractors who do remodels and setting up the contract properly vs contractors that only do new builds. Also, financing the deal can be done with bank rather than out of pocket if done properly. Main challenge, gutted the house right before Covid! Everyone else knows the rest of that story for next 3 months. Then got contractors in as soon as I could once restrictions were lifted.
Did you work with any real estate professionals (agents, lenders, etc.) that you'd recommend to others?
Myself now! :)