For a time, I was skeptical about those who claimed to be buying houses inexpensively and flipping them for huge profits. I have attended some real estate investing seminars in the past but was always cynical.
I have a friend who is very successful in reconditioning homes and selling them for a profit. He lives in the suburbs of a big city. I thought for years his success was due to his location. However I continued to be curious, so I attended a foreclosure auction in my own home town.
The property was around the corner from where I live. However, the balance on the foreclosure notice was $64,000. The assessed value of the home was $59,000. I felt compelled to attend and brought two cashier’s checks along just in case.
When I arrived at the courthouse, no one else was there. When the bidding started I was amazed. The opening bid was $25,200. I immediately bid $25,200. My bid was accepted.
I was familiar with the condition of the home, so I knew it was in good shape and needed little work. I closed on the home on October 20, put some elbow grease, carpet, padding, nd painted the place for about $3,00 Thee weeks later it looked brand new. I immediately put the property on the market and put it under contract for $50,000 on December 1, scheduled to close in January.
I am now looking to devote more time to buying and selling homes. Provided that I am fortunate enough to find deals, I am considering leaving my full-time job and devoting full time to real estate investing. Not only did I get a good deal, but it was fun too!