Fix and flip in Torrance California

[Christina Jones]

Investment Info:

Mobile home fix & flip investment in Torrance.

Purchase price: $3,000
Cash invested: $45,000
Sale price: $105,000

This home is a 3 bedroom 2 bath. This was a major project. This was almost a full-gut job. We put in new kitchen, new flooring , new bath sinks, re-did showers and tubs. This was the most we have ever spent on a project. The profit margins are still good. We were able to sale for $ 105, 000.

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

The numbers on this deal was too good. So we decided to move forward.

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

A broker contacted us from one of our advertisers.

How did you finance this deal?

We use our own funds to fund this deal.

How did you add value to the deal?

We took a vacant home that was an eyesore in the park. We in return brought value by filling the vacant space to collect an additional $1700 in space rent.

What was the outcome?

The outcome is we would do it again!

Lessons learned? Challenges?

Make sure you vet your contractor, trust them, give them daily tasks and make sure they meet your expectations. Make sure you have buyers ready so when you sale your holding cost ( lot rent ) is not eating into your profile margins.

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

Yes, we did list with an agent for this deal. It was the first and might be the last due to all the fees that are associated with closing on this home.