Equidy provided the hard money for a property project in Oakland, California that led to an entrepreneur making a big profit.
The challenge
The client was an experienced ‘flipper’ who came to Equidy with the intention of buying and then flipping a single family home in the Bay Area city of Oakland.
The property was a three bedroom, one bathroom home that was listed for sale at $780,000. Our client had aspirations to add an additional bedroom and bathroom to ensure the home would have a competitive edge when reselling. The property also was in desperate need of a new and updated kitchen, updated floors, bedrooms and some renovations on the exterior landscape.
We looked at the After Repair Value (ARV) when determining what the loan could look like to best assist our borrower.
Our team was able to give the borrower a fast approval on a $780,000 loan with $80,000 set aside for repairs and just 15 percent down.
The result
The borrower was able to use our loan to purchase the home and increase the square footage from 1,258 square feet to 1,350 square feet. The client installed a brand new kitchen with new appliances, completely remodeled the first bathroom and added a second one. When updates were completed on the flooring, the home had received a full makeover.
The deal closed in July, 2021 and the home was resold in February of the next year.
The property sold for $1,201,000 which was $51,000 over the listed price with a $421,000 increase in property value.
Front of House Before:
Front of House After:
Kitchen and Dining Room Before:
Kitchen and Dining Room After
Living Space Before:
Living Space and Updated Rooms:
How can we help you?
Download our free ebook, The Flippers Guide to Funding Your Property Empire, to learn about funding strategies for your property dreams.
You can also book a free, no obligation strategy call with one of our experts to talk about the finance options available for your project.
