OfflineJill & I just signed a sales contract on a Fannie Mae foreclosure we bought 115 days ago. This was the house RE had listed at 39,000; we offered 20K & the bank rejected it. Three weeks later it went to REDC auction & we won the high bid at 20,000; plus 2,500
buyer's premium. With closing costs, the total was 23,477. Since we had to hold it 90 days we took our time on the rehab. We installed new kitchen cabinets & counters/new appliances,lighting & plumbing fixtures,
new vanities & toilets in both bathrooms; new washer &
dryer, water heater, overhead garage door, flooring, & paint inside & out. Total cost of rehab was 8,000.
Since we paid cash for the house, the holding costs
are about 300 for insurance, 250 for electric, 200 for taxes, 100 for water.
Sales price is 46,500; less total costs of around
33,000 leaves about 13,500 profit ... which is about a 40% return on our investment !!!
Even after 10 yrs. of full time RE investing it still feels as good as the first ! Gary/Jill
Just Signed a Sales Contract on our REDC Auction House
Posted on: Wed, 12/08/2010 - 00:58
Just Signed a Sales Contract on our REDC Auction House
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- by gceriani
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The buyer is paying cash & closing on 12/15. We are in the market for more. Would love to partner up with some other DG members & make some more money !
Good job on this deal. Gald to see you guys still staying busy.
Steve
Steve and Veronica
Steve and Veronica's Journal.
http://www.deangraziosi.com/real-estate-forums/investing-journals/58073/...
http://www.deangraziosi.com/real-estate-forums/totally-fulfilled/72344/d...
Thanks Steve, another one under our belts. Can't wait for the next deal !
I'm investing in the wrong state! You couldn't do a rehab like that for under $20K out here, and that would be for the cheapest of cheap materials! Glad to see other's using REDC, and I would love to partner up for some of those FL deals! Man, the costs out here are SOOO much higher! SO happy you got it sold so fast! Congrats on yet ANOTHER deal! Way to go!!!! Incredible ROI!!!
Thanks Tammy. We have done about 25 rehabs here in Citrus County, Fl. & Jill & I do all of our own work, except for permitted things like roofs or central a/c. We still love it, even after our 1st rehab 13 years ago. After retiring/owning the oil company 10 years ago & investing in RE full time(well really part time work, about 3 or 4 months per year total)we still are excited
about every deal. We would really like to start to wholesale this year & begin to work smarter, not harder. We could use a partner/movtivator to help turn these past 30 local deals into 100. Thanks again for all your support. Gary/Jill