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Real Estate Deal Analysis & Advice
Account Closed
  • Investor
  • Georgia and Washington
2
Votes |
6
Posts

1st Fix, Hold, and Flip complete.

Account Closed
  • Investor
  • Georgia and Washington
Posted Apr 5 2020, 19:53

Investment Info:

Single-family residence fix & flip investment in Atlanta.

Purchase price: $85,000
Cash invested: $15,000
Sale price: $152,000

2 bedroom, 1 bathroom, 920 sq ft. ground level, condominium.

What made you interested in investing in this type of deal?

The LOCATION is literally footsteps away from Peachtree street; in the heart of Midtown, Atlanta. It had no rental restrictions. I’m extremely familiar with the area, and the post recession price was unbeatable.

How did you find this deal and how did you negotiate it?

It was a foreclosure; A friend from undergrad purchased and renovated a property in the same building, post recession. It had been on the market for quite sometime. After my low ball offer was denied, I was counter-offered a phenomenal price that I couldn’t refuse. Despite, the unreasonable escrow request...

How did you finance this deal?

Personal savings for purchase and renovations.

How did you add value to the deal?

Major updates..... I completely renovated the bathroom, updated the fixtures, added a washer and dryer, etc.

What was the outcome?

49,000.00 profit, minus capital gain tax. (I didn’t utilize a 1031 exchange)

Lessons learned? Challenges?

Had I known how home renovation loans worked, that would have been utilized instead of my savings. I wish I was more knowledgeable regarding the going percentage rate for hiring property management, because it was way too high for the service I received. I definitely learned that being a hands off landlord works best for me. Lack of mentorship and coaching was my biggest obstacle in this process.

Did you work with any real estate professionals (agents, lenders, etc.) that you'd recommend to others?

I didn’t have any contacts for reliable contractors, so I used my inspection report as a guide, and delegated each task from there. I was extremely hands on and somewhat knowledgeable from previous work I’ve done in my own home. I purchased most of the supplies independently, to avoid paying for more than labor.

User Stats

150
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Damian Bialonczyk
  • Investor
  • Marlborough, MA
74
Votes |
150
Posts
Damian Bialonczyk
  • Investor
  • Marlborough, MA
Replied Apr 6 2020, 19:49

@Account Closed

Congratulations on the deal! Thanks for sharing

User Stats

213
Posts
171
Votes
Andre Taylor
Pro Member
  • Rental Property Investor
  • Chicago, IL
171
Votes |
213
Posts
Andre Taylor
Pro Member
  • Rental Property Investor
  • Chicago, IL
Replied Apr 6 2020, 20:00

Congratulations... turning a profit on your first property is a huge win!!!! Keep going!!

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Account Closed
  • Investor
  • Georgia and Washington
2
Votes |
6
Posts
Account Closed
  • Investor
  • Georgia and Washington
Replied Apr 9 2020, 23:57
Originally posted by @Damian Bialonczyk:

@Account Closed

Congratulations on the deal! Thanks for sharing

Thank you sir. Your portfolio is quite impressive; any words of wisdom? 

Account Closed
  • Investor
  • Georgia and Washington
2
Votes |
6
Posts
Account Closed
  • Investor
  • Georgia and Washington
Replied Apr 9 2020, 23:59
Originally posted by @Andre Taylor:

Congratulations... turning a profit on your first property is a huge win!!!! Keep going!!

Thank you for your acknowledgment. So humbled by your accolades, etc. Any words of wisdom? 

Account Closed
  • Investor
  • Georgia and Washington
2
Votes |
6
Posts
Account Closed
  • Investor
  • Georgia and Washington
Replied Apr 10 2020, 00:00
Originally posted by @Andre Taylor:

Congratulations... turning a profit on your first property is a huge win!!!! Keep going!!

Thank you for your acknowledgment. So humbled by your accolades, etc. Any words of wisdom? 

User Stats

213
Posts
171
Votes
Andre Taylor
Pro Member
  • Rental Property Investor
  • Chicago, IL
171
Votes |
213
Posts
Andre Taylor
Pro Member
  • Rental Property Investor
  • Chicago, IL
Replied Apr 10 2020, 05:16

@Account Closed keep going dont stop... re-invest the profits more deals...but also reward yourself after each successful deal and don't let make sure if anybody wants to come learn real estate from you... that they bring value to you in some form or fashion.....the game is to be sld...never told!

Account Closed
  • Investor
  • Georgia and Washington
2
Votes |
6
Posts
Account Closed
  • Investor
  • Georgia and Washington
Replied Apr 20 2020, 13:01

Thank you for your kind responses. I completely agree regarding the “game is to be sold, not to be told”, considering the 6 figures I put on the line may not be a lot to others, yet significant to myself. The abundance of schemes, scams, and frivolous seminars, that intentionally target newbies or beginners are so easy to fall victim to without lack of knowledge andor research. If any of fellow members (EXPERIENCED and KNOWLEDGEABLE) don’t mind sharing credible recommendations and referrals, I’m also willing to exchange contact, wholesaler, and vendor information I’ve obtained and can provide references regarding as well;)