Josh Barton Rehab Deal


Josh Barton Rehab Deal

Cj. Barton Construction in Josh Barton with Jesse Barton & Jennifer Obrien

Our Partner Jennifer is an agent, she brought this deal to us from the MLS. The listing had been up for a while and we noticed the offers kept falling through and that the price continued to drop. It started around $150,000 and dropped to $130,000, then on to $90,000, and finally down to around $60,000. We learned that the owners had moved a few years before and had been renting the home out to their children. The children had trashed the house and it had no carpet and had been halfway gutted by the tenants. We offered them $50,000 and had our offer accepted. After the inspection, we realized the property needed a little foundation love (which ended up costing about $1000) so we reduced our offer to $42,000 and the accepted that. We purchased the property cash about $14,000 each. We then immediately found a PML to lend us purchase price + rehab at 10% so we paid back each member and borrowed roughly $67,000 in rehab money. My construction company handled the flip so we made money on that as well as profit. About 5 months later the house was on the market and we had an accepted offer 3 months after that. We went through a couple of offers and buyer financing fell through based on them not qualifying. After 11 months (this is a very rural market, average days on market is 250+) we sold the property for $195000!!! We profited around $40,000 after expenses and my company was able to be paid to do the flip as well as my other partner profiting from the commission on both transactions (purchase and sale). We were able to make 40,000+commission+General contractor wages out of almost 0$ of our own money. I would call that a WIN!

Rehab Details

Property City: Kendrick
Property State: ID
Purchase Price: $42,000
Repair Costs $68,000
Sale Price: $195,000

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Case Study

How did the FortuneBuilders team and resources help you to accomplish this deal?

FortuneBuilders has given me a \"just do it\" attitude. We bought a house nobody wanted for no money out of pocket and turned it into a teachers salary. FortuneBuilders gave me the confidence to know that it is possible and it can be done, you just have to find a way. That is priceless.

Before & After Photos