Updated almost 5 years ago on .
First time flip! Big returns and lessons learned
Investment Info:
Single-family residence fix & flip investment.
Purchase price: $309,000
Cash invested: $72,000
Sale price: $570,000
This was more of a roll over than a "flip" as it was my primary residence as I was remodeling. I bought it as a bank owned property and moved into the upstairs while I remodeled the downstairs, then switched. I travel most weeks for work in a normal year, so this was a nights and weekends project, but I'm proud to say I did 99% of the work myself, with the exception of the new electrical panel and a couple other specialty projects. I sure wish I held it longer though as the property is now worth over 700k!
What made you interested in investing in this type of deal?
Easy to see the potential in a great neighborhood.
How did you find this deal and how did you negotiate it?
Found it through an agent friend who knew the neighborhood well.
How did you finance this deal?
Conventional financing for owner occupied. Put 5% down and refinanced shortly after.
How did you add value to the deal?
Full down to the studs remodel. Blew out some interior and exterior walls and created an entirely different living experience.
What was the outcome?
Big time profits for a first time and a HUGE list of lessons learned.
Lessons learned? Challenges?
Just because you can do a given task, doesn't mean it makes sense for you to do it yourself.
Contrary to above, even if you have no idea how to do something, you can figure it out and still do a pretty damn good job if you're willing to learn along the way and maybe do it more than once to get it right.
The money is there!
Did you work with any real estate professionals (agents, lenders, etc.) that you'd recommend to others?
Nope, but a couple I'd suggest you avoid like the plague! (no names mentioned)
