First Off Market Flip

[Keith Thomas]

Investment Info:

Single-family residence fix & flip investment in Port Orchard.

Purchase price: $227,000
Cash invested: $80,000

Off Market deal. Came through networking with out of state wholesaler. It was was a mess full of dogs living there but had great potential. First time using hard money and also first time I partnered with someone as well. Things went great had a nice plan got a designer in to start the process and off to the races.
Buy 227k
Rehab 80k
Hard Money Fee/ Cost $13,090
insurance Vacant $ 2900
Repay Hard Money Loan $181,500
Sold 440k
Profit 80k after all fees

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

I had the capital and I did enough research and I didn't feel like I was gambling. I was investing in an asset that would give me a great return.

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

It was bought to me by a Realtor with whom I just met 2 days prior to this deal. I ran my numbers and saw the rehab and gave them a number.

How did you finance this deal?

Hard Money

How did you add value to the deal?

I gutted the whole house New Kitchen flooring, paint, plumbing ,appliances

What was the outcome?

Sold for a profit of about 80k

Lessons learned? Challenges?

Biggest Lesson is watch your carrying cost and hard money fees. They add up and take a lot away from your bottom line.

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

Yes I did work with a Real Estate professional to sell the property.