Investor · Grasonville, MD · Member since 2017 · 453 posts · 415 votes
My team and I sold our first flip today!
Started diving head first into real estate in the beginning of 2018 and haven't slowed down since. We found this deal from a DM Campaign. After a few campaigns with no results, one in May finally stuck. Biggerpockets has been an incredible source of information and this wouldn't have happened without the community.
Front view: (Packed the Prius full)
Rear: (Bay Grasses turned out great)
Kitchen:
Master Bath:
Roof:
Here's about 3300 letters that I proudly lick!
Numbers:
Purchase- $108,000
Rehab- $70,000
Holding- $3,200
Sold Price- $288,000
Profit about 27% off of sold price.
Thank you to all who helped me throughout the Journey, greatly appreciated. Now we are looking to put our 2nd and 3rd property under contract this month. Possibly even a fourth if I have any funds left! If you're in the Annapolis area, reach out anytime- I'm definitely looking to get some sort of master mind group together to bounce ideas off of!
Handyman · Pittsburgh, PA · Member since 2018 · 5k+ posts · 13k+ votes
8y
You ought to be proud of yourself, Ken. You did it and you did it the best way possible. There's the good steel in you, unlike too many others who think it's something other than it is, brutally hard but honest work. Congrats!!!
Investor · Grasonville, MD · Member since 2017 · 453 posts · 415 votes
8y
@Peter Fennig thank you, the Island was built by a business partner who is a carpenter by trade. The shower we were able to lengthen from 6 feet to 8 feet by taking down a wall that was nothing but 2 feet of empty space. I guess they framed it in to make it easy to fit a 6 standard 6 foot tub.
Investor · Grasonville, MD · Member since 2017 · 453 posts · 415 votes
8y
@Rich McElaney thank you Rich. Not really any big surprises. The house was built in the early 90’s which was advantageous to less surprises. An equity partner is an experienced contractor so he was able to walk through and estimate expenses before he rehab. He estimated $70,000 and we came in just under that. The buyers inspection came back on some minor things that we were surprised needed to be corrected, but we just did it anyway and didn’t argue.
From closing to sale it was exactly 3 months. Was on market for just under two weeks.
Rental Property Investor · Fitchburg, WI · Member since 2016 · 91 posts · 60 votes
8y
@Ken Nyczaj amazing, amazing work! May I ask how big your team is? You mentioned an equity partner, were they an LP in this project or a full partner?
How long did the project take from closing purchase to closing sale?
Investor · Grasonville, MD · Member since 2017 · 453 posts · 415 votes
8y
@Sam Shueh the glue is my favorite part! JK, I now use an adhesive stick after having a glue taste in my mouth for weeks.
Honestly, I didn’t track my time as much as I should. We are just getting started and I didn’t want to focus on perfection but just action. I’m our acquisition manager and I can say the longest part was building the list through looking at dock sheets, parcels, D4D, etc. Printing and creating the envelope took time too but we are going to find someone local to do that part, I’ll continue to build the list as I see it being the most important part.
If I had to guess, if I worked four straight weeks, 8 hour days that would have gotten us our first deal. That being said, I didn’t work straight through as I have a full time job where I travel, and I was very inefficient at first.
Investor · Grasonville, MD · Member since 2017 · 453 posts · 415 votes
8y
@Jim K. Hey Jim, Thank you for the kind words. You definitely gave me some insight early on and I can't thank you enough. On the next one I may ask to bend your ear again!
The work is hard and without a trained eye and skilled business partner we would have failed before we started. I can't underestimate how important it is to build the right team around you.
Good luck up there in Pittsburgh. Great city with great, hardworking people.
Investor · Grasonville, MD · Member since 2017 · 453 posts · 415 votes
8y
@Carver D. Jarmon III Appreciate it! The business partner who did the majority of the work is a carpenter by trade, but also did the electrical and plumbing which wasn't too intensive for this project.
Indian Harbour Beach, FL · Member since 2018 · 92 posts · 99 votes
8y
@Ken Nyczaj Great job, looks amazing! I love to see old cabinets painted and restructured to fit the new space! The built in around the fridge, the new cabinet above the microwave, the crown at the top of the kitchen soffit above the cabinets (to make the kitchen feel larger), and of course the island! The walk in shower is amazing, and the handle in the front is pure genius!!
Investor · Grasonville, MD · Member since 2017 · 453 posts · 415 votes
8y
@Rich McElaney actually Rich to further answer your question about surprises, I can honestly say I was surprised at first as how many letters it took to get the first deal. I think in total since starting marketing in Jan 2018, maybe 2,000? I can't remember exactly, all the glue has fogged my brain.
I can say though, success seems to happen right after when you're on the verge of giving up. You just have to push through.
Rental Property Investor · Carolina Beach, NC · Member since 2015 · 32 posts · 17 votes
8y
@Ken Nyczaj I've done a ton of direct mail in my past and the old saying is it is the only medium where you could fail 98% of the time and still get ROI! (You proved that at an even lower rate!) It's part art and lots of science (especially measuring results and acting on the measurements.)
Real Estate Broker · Provo, UT · Member since 2013 · 689 posts · 511 votes
8y
@Ken Nyczaj Well done. Good move on the island and the shower set up.
Also good choice on the deck. Many folks don't realize how inexpensive a nice basic little deck can be. If at all possible I always try to incorporate some type of outdoor living feature in every deal.
A $3500 deck might only get me an extra 5k in value or price, but that one concept has very often made my deals stand out and sell dramatically quicker than the market average. Nice work, dude.