Updated over 7 years ago on . Most recent reply
First Fix and Flip!!
Investment Info:
Single-family residence fix & flip investment.
Purchase price: $312,000
Cash invested: $70,000
Sale price: $500,000
My first fix and flip! I am extremely proud how the whole project turned out. As a private money lender I learned the art of a fix and flip, costs, timing and little tricks to streamline the process. I'll never forget this deal, and I'm hoping to find my next one quickly!
What made you interested in investing in this type of deal?
I'm interested in doing fix and flips to save up capital for multi-family investing :)
How did you find this deal and how did you negotiate it?
My partners found this deal through an off market inquiry.
How did you finance this deal?
Myself and another private money lender.
How did you add value to the deal?
Besides being the private money lender, I frequently checked in on the property, learning and observing the process from start to finish.
What was the outcome?
The house is currently listed on the mls. I have already been paid 12% return on my principle and will continue to earn interest until the house is sold.
Lessons learned? Challenges?
One of the most important lessons learned through this process is setting a due date with your contractor. If the contractor goes over time, they can start paying YOU interest on the property. Time is money, if contractors know it will start costing them money when due dates are past due, it gives them incentive to get the project done quickly!
Did you work with any real estate professionals (agents, lenders, etc.) that you'd recommend to others?
John Maxim (Broker) Chris Weaver (Real Estate Investor), Jon Ballard (Real Estate Investor)
