Updated over 6 years ago on . Most recent reply
Single Family Home Flip
Investment Info:
Single-family residence fix & flip investment in Enterprise.
Purchase price: $10,000
Cash invested: $43,000
Sale price: $110,000
Worked on the project from June to December, when we listed, closed the sale on March 1, 2018.
3 Bedroom 2 bath 1600 square feet. Don't know if we will ever get that lucky on purchase price again. Great flip!
How did you find this deal and how did you negotiate it?
Found it on the MLS, had it under contract for 22K, and needed it reduced, they came to 15K but we needed it at 10K. Backed out in inspection period. A month later, we offered 10K and they accepted. We didn't think it would sell for what it did, but a couple comps in the neighborhood sold while we were working on it and it upped the value.
How did you finance this deal?
Cash, and we will never have all of our cash leveraged again. Scary....
What was the outcome?
We bought for 10K, put in 43K rehab cost and sold for 110K. We did pay 3% buyer closing costs and 6% Realtor commissions, but made a huge profit.
Lessons learned? Challenges?
Time is money, next time we will hire more out and we will get it done faster. We will never leverage out all cash for a deal again. Too scary.
Did you work with any real estate professionals (agents, lenders, etc.) that you'd recommend to others?
yes, Stephen Holland sold us the house and he is out of Dothan. Daphne Schleusner with Team Linda Simmons listed our house, and did a fabulous job!