Updated almost 7 years ago on . Most recent reply
Liberty Heights investment
Investment Info:
Single-family residence fix & flip investment in Gwynn Oak.
Purchase price: $60,000
Cash invested: $60,000
Sale price: $174,000
House was a total rehab.
What made you interested in investing in this type of deal?
House is located in a area that is changing due to new community developments. This seemed like in opportunity to cash in and profit while contributing to the community positively.
How did you find this deal and how did you negotiate it?
Found the deal through a broker, we agreed on a price based on comps of what the ARV of this property would be.
How did you finance this deal?
We finance the deal with hard money and part private capital.
How did you add value to the deal?
Values was added with the renovations of the home. This house was a complete gut job. Many systems in the home had to be upgraded, appliances, and just overall condition. So,emof the before photos show this was not the most slightly of residences.
What was the outcome?
Outcome is that the house was finally sold to a partner in the syndication.
Lessons learned? Challenges?
Estimating repairs was a main lesson learned. The experience in the group helped to have the project completed but remembering to flexible with numbers and not to agresssive makes it easier to deal with the unforeseen costs that lay in the shadows of such a project.
