We found this for FOR SALE BY OWNER ad on Craigslist. The owner had used this property as a rental and she was tired of dealing with renters. Since we were not a typical renter, and we would be actually buying the house, she was willing to work with us on taking over her existing debt of around $83,000 at the time, and she just wanted $3,000 cash to wash her hands of it! We gave her $3,000 and she signed the deed over to us.
Because we were new in the industry at that time, in 2018, we attempted to do some of the remodel ourselves…
Then the record-breaking flood of the Arkansas River in 2019 took out several homes near the edge of Fort Smith. A man call us who was desperate for a place to go because he had lost everything, so we allowed him to move into the home doing some minor repairs and paying rent on a month to month basis until he was able to secure a place through FEMA, which took him about a year. At that time we listed the place as a WORK FOR EQUITY.
A man and woman responded to our ad with $7,000 down needing a house ASAP. We put them under contract at $101,000 because of the condition at the home and the current market in that area at that time.
They assured me they only needed a year to qualify for the loan so I put them on an 18-month lease, assisted them with the credit repair program and set them on a path for home ownership. They totally renovated the home! At 18 months I met with them, and rather than repair their credit they had gone further in debt and were far behind on all of their other payments (even though they had never been late on their house payment). I offered to extend their lease and help them yet again to work out something with their credit, but because of family reasons, they decided to not pursue home ownership and they vacated the home.
I put a for sale by owner sign in the yard asking $149,900. I found a cash buyer and we wrote up a contract but just days before the closing they decided they did not want this house. I put another for sale by owner sign in the yard and marked the price up $30,000 more. I found another cash buyer for $179,900!
We closed on this house within a couple of weeks yielding us a $90,343.27 check!
Farion Houston
Fort Smith, Arkansas
Congratulations! Looks like a sign of great things to come!
I am so proud of you Farion and excited about your deal.
Hello Farion,
Wow! What a success story! I am glad that it all worked out and that your mentor was there for you to get that big check. I am new to all of this, and have a long way to go before I get that kind of check. Take care and keep up the good work. Success be yours!
Bye for now,
Robert
That is an awesome story! Great to see your results and thanks for sharing them! Kepp on keeping on toward your dreams!
Hello Farion, thanks for the informative success story and the posting. It was very inspiring and well worth reading. Great RE deal you closed on. Keep on investing, moving forward and make us all proud of you. I wish you well and continued success Take care.