Updated about 6 years ago on . Most recent reply
Boca Raton House Flip
Investment Info:
Single-family residence fix & flip investment.
Purchase price: $299,000
Cash invested: $63,000
Sale price: $420,000
Foreclosure home in Boca Raton. Renovated the entire house, did most of the work myself, and sold it for a nice profit.
What made you interested in investing in this type of deal?
Family does RE investing in California.
How did you find this deal and how did you negotiate it?
I have a real estate license and watched the market actively. I knew the house and neighborhood already so I made an offer within hours of the property being listed. There wasn't much negotiation since it was bank owned. The basically said take it or leave it.
How did you finance this deal?
Traditional mortgage
How did you add value to the deal?
I'm good at design and renovation work so I was able to make the house very appealing for a decent price. When I listed the house it had a dozen or more showing per day, and multiple offers by the end of week one. Sold it for more than I listed it...in a bidding war.
What was the outcome?
Walked away with a solid profit, and some lessons learned.
Lessons learned? Challenges?
1. You don't know what you don't know, and never forget it.
2. NEVER renovate a house while living in it with your wife and newborn baby.
3. Be careful when friends or family promise help or "expertise" because it can go bad in a heartbeat
4. Know your market
Did you work with any real estate professionals (agents, lenders, etc.) that you'd recommend to others?
No. I'm a commercial real estate professional with a strong background