First in, my beginning of the Flip
Investment Info:
Single-family residence fix & flip investment in Saginaw.
Purchase price: $32,000
Cash invested: $20,000
Sale price: $98,000
Dilapidated to Renovated
What made you interested in investing in this type of deal?
Low acquisition cost, proximity to my home base, community improvement.
How did you find this deal and how did you negotiate it?
I was driving the neighborhood and found a FSBO sign in the yard.
How did you finance this deal?
Cash, I did not use any financing nor credit.
How did you add value to the deal?
I took time to bring back the hardwoods in the main living area. Cleaned out and upgraded electrical service. I added new roofing and flooring. Redesign of the kitchen and 1/2 bath. There were not many parts of this home I did not touch.
What was the outcome?
A safe and attractive starter home that was functional and attractive.
Lessons learned? Challenges?
Finding good help is one of the biggest challenges. Foundation issues of home, built on a crawlspace, proved to be expensive and extensive. As the home settled over the years, wallboard and trim were cut to accommodate the movement. This knot was not worth unraveling. Learning to accept the uneven floors as something that could not be corrected without blowing the budget was a hard pill to swallow. Regardless, the home came together nicely and proved to be desirable.
Did you work with any real estate professionals (agents, lenders, etc.) that you'd recommend to others?
I acted as owner/agent. This home was sold for cash and as-is.