The Tip That Saved Me $40,000 on My Fix and Flip
Fixing and flipping a home is certainly not an easy endeavor. With rehab projects, you invest not only money, but time and energy into achieving massive profits. One of the worst things you can do is try to flip a house alone. This bears repeating: One of the worst things you can do is try to flip a house alone. If you choose not to work with a team of experts, the chances of your flip being a flop significantly increase – especially if you are new to the investment industry.
Ed H. of Atlanta, GA was brand new to fix-and-flip investments. He heard about the large amounts of money made with real estate deals and wanted to get involved. He had no previous experience nor knowledge regarding how to successfully execute a flip. If he decided to go it alone, not only would he sink a great deal of effort into a bad deal, but thousands of dollars would be gone in a flash. Fortunately, he made a crucial decision which saved him $40,000 in his fix-and-flip process!
Ed realized the odds of achieving high returns greatly decrease if he goes it alone. So, after finding his lucrative property to flip, he took the next important step: he found a great hard money lender to fund his deal and guide him through the process. Ed did his homework regarding this property and met the lender with an ARV he calculated previously. Do Hard Money did some calculations of their own on the value of the property. Lo and behold, the numbers didn’t match up.
As we compared our calculations with Ed’s, we discovered Ed was about to pay a great deal more for the property than it was currently worth. We introduced Ed to our Advanced Deal Analyzer and provided him with our findings. He brought these findings to the seller and used the information as leverage to lower the property price. As a result, the seller agreed to sell the property for $40,000 less than the current asking price!
We caught this price discrepancy before Ed potentially lost thousands of dollars on this deal. Our ADA determined the ARV (after-repair value) of the home as well as the current as-is value of the property. In catching the vast difference between the as-is value and how much the seller was asking for the property, Ed was spared a huge chunk of change. Thanks to DHM’s help, Ed made a huge return on his investment. To watch the full story, click below!
Do Hard Money is far more than just a lender. We provide account advisors and REI experts to walk you through every step of a deal. Our tools and resources save thousands of dollars on each deal, increasing your profit margin. Put our unparalleled service to the test!
Do you have a property in mind? Excellent! Do Hard Money understands just how cutthroat the industry can be and that fast funding is essential. Fill out a loan application quickly and easily to secure that property before someone else snags it. Just fill in the fields in the yellow ‘Get Prequalified’ box on the right. Then, click ‘GET PREQUALIFIED’ and you’re on your way to getting your funds.
Are you still looking for a property? Let us help you! Our team of investment professionals is standing by. Click on this link to schedule a time to chat with one of our investment associates. To speak with a real estate associate right away, call us at 801-948-9774. Open the door to financial freedom, earning and saving thousands with your next deal! Schedule your appointment today!