All Forum Posts by: Taylor Walker

Investment Info:

Single-family residence fix & flip investment.

Purchase price: $812,000
Cash invested: $350,000
Sale price: $1,618,000

We added significant value to this property by doubling the square footage of the existing house. Pushed the resale value by increasing square footage.

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

We found a property that was about 1200 sq ft but was sitting on a 6200 square foot lot. We saw that the comps were much higher with a square footage of 2000- 2500 so we decided we could add square footage.

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

Found it on the MLS. It hit the market and the same day we saw it and wrote an offer. Used the listing agent to incentivise him to help us secure the deal.

How did you finance this deal?

First position hard money, and second position private money lender.

How did you add value to the deal?

Added square footage and remodeled the whole existing house/lot.

What was the outcome?

Sold the property almost double what we paid for it.

Lessons learned? Challenges?

The contractor was the main reason we got delayed. From here on out we make sure that whatever contractor we use has a crew of guys that will work efficiently, and diligently. Also, make sure you have a contractor that is up to date on the city codes when building because if they're not you'll have a challenging time passing inspections.

 Thank you, Taylor!

 Yes, of course! Since then we have done plenty of deals.  Will be sharing soon, thanks for your support.

 Thank you, Dmitriy!

Thank you for the response, Ryan. Contractors are critical to a successful development project. Once you find some that are good, hold onto them for dear life! My terms for my HML are 85% of the purchase, and 100% of rehab. 1.5 points, the rate is around low 8%.

Thank you! Will be posting more case studies. Appreciate the support.

Investment Info:

Single-family residence fix & flip investment.

Purchase price: $985,000
Cash invested: $300,000
Sale price: $1,440,000

Westchester meets Silicon Beach in this expanded and reimagined 40’s classic LA cottage now with a luxurious master suite added. Comfortable open floor plan modernized for today’s family needs.

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

This was my first deal.

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

Found it as a canceled listing on the MLS and reached out to the previous listing agent. Apparently, it was pulled down because the owner was dealing with health issues. We were able to negotiate it so that she would sell it to us off the market.

How did you finance this deal?

We used hard money in the first position and a private lender who covered the down payment and rehab costs.

How did you add value to the deal?

We added square footage and updated the existing house.

What was the outcome?

We sold it off the market before even having to stage it.

Lessons learned? Challenges?

Hiring the right contractor can make or break the deal. We had to fire our first contractor and ended up having to complete the rehab ourselves. We learned the different phases of construction and how to properly manage it ourselves.