All Forum Posts by: Samantha Mosquera

@Patrick Drury

It's a 3 bedroom 2 bathroom with 1,216 sqft

Comps for renovated properties are going for ~ $200-220k , prop that need some work are going for ~ $130-150k 

I rent in the area is around $1600/month 

There was a few showing but the vacant lot next door has been the the negative feed back. there are currently about 3 vacant lots on the same block rest. There are a number of newly renovated houses as well 

I currently live in New Jersey and decided an out of state investment would be more affordable. I purchased a property in Baltimore which needed a total rehab. After a year of renovating the property and having a hard time with the contractor, we finally were able to complete the project and hired a real estate agent to sell the property. The house has been on the market for over 7 months without a single offer. Did I hear the wrong agent? Was it a bad deal? Should I just rent it and refinance ? I don't know what to do but this project has been very costly and was my first experience doing a full reno. Just hoping to be able to make back the money invested because I have 2 other properties that been to be renovated. 

Please help.

Thanks for the tip, I'll do that now

Investment Info:

Townhouse fix & flip investment.

Purchase price: $22,500
Cash invested: $110,000

Distressed property needed a full gut renovation. First time investing out of state, first time dealing with untrustworthy contractor that cost me so much time and money, first time unsure how to turn this investment experience into a positive.

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

Finding a property even a distressed one for only $22k was unheard of for me since New Jersey RE can be pretty expensive so I jumped at the opportunity without due diligence/ doing my HW

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

Was on a road trip during the pandemic and stayed in Baltimore, drove around different areas and came across this property what was boarded up with a sign that it would be listed for auction on an auction website. I went on the website and placed a bid and was able to purchase the property. The paperwork took a couple months since it was during the pandemic.

How did you finance this deal?

Had the money and also collected some from friends and family

How did you add value to the deal?

Complete rehab the house and added central air.

What was the outcome?

The property value is now about $170k

Lessons learned? Challenges?

So many things may and will come up during a rehab project. Learn to budget accordingly, make sure to get quotes from various contractors, and ask for references. The contractor I used delayed the projected by over 8 months from the agreed deadline. Out of state investing can be costly without a trusted team.

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

Once the property was completed I hired an agent to sell the property has been listed for 7 months without any offers. Need help. I don't know if I am working with the right agent or if my property really just won't sell.

Investment Info:

Townhouse buy & hold investment.

Purchase price: $168,000
Cash invested: $170,000

First investment property. A 3 bedroom 2 1/2 bathroom townhouse located in great quiet area in Newark, NJ near the universities and city hall. Was purchase in cash from an auction. Recently did cosmetic renovations after the pervious renters moved out

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

I studied in Rutgers Newark and saw house much money was going into the city and knew I needed to invest but didn't know where or how to start. Ran into some money at the time and ended up putting all off it in to this house when I heard the street name that the property was located on. It was my first time going to an auction and truthfully got lucky that there was no major rehab needed.

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

Via a live auction held at the court house. The house was on foreclosure and was being sold by the bank. Was unable to negotiate.

How did you finance this deal?

Did not finance, had the cash.

How did you add value to the deal?

June of 2022 I renovated the kitchen and upgraded all appliances

What was the outcome?

New tenant that pays higher rent.

Lessons learned? Challenges?

Learned a lot about property management and maintenance as well as the eviction process in New Jersey. Also wish I did more research and didn't put all my cash in one location I wish I would have been able to do a loan and use the rest of the cash as down payments to buy other properties.

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

Not for this property.