Updated over 4 years ago on . Most recent reply
Raw land paid off....after years of work.
Investment Info:
Single-family residence fix & flip investment in Grapeview.
Purchase price: $28,000
Cash invested: $80,000
Sale price: $480,000
Bought raw land and developed it to sell as an investment. Built a 3 bed 2 bath farmhouse over the course of two years. We both worked full time and spent all our spare time on our investment.
What made you interested in investing in this type of deal?
We tried to buy a home that was a fixer but the market here is low on inventory.
How did you find this deal and how did you negotiate it?
We found the land listed on the MLS but it took two days of bush cutting to find the building site.
How did you finance this deal?
Cash earned in our day jobs to develop the building site and then a conventional construction loan for the house.
How did you add value to the deal?
We did the site clearing, plumbing, electrical, HVAC, flooring, and kitchen ourselves.
What was the outcome?
We walked away with $200,000 in our pockets to invest in the area we want to create a rental business, the Flathead Valley MT.
Lessons learned? Challenges?
It's ok to spend a little more to hire out the jobs you don't want to do.
Did you work with any real estate professionals (agents, lenders, etc.) that you'd recommend to others?
No.
