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Here is the breakdown of how this off-market deal was achieved in November 2019: The Purchase

1. Identifying the Opportunity

• Tenant as Buyer: The buyer was already renting the property, making them aware of its condition, potential, and the landlord's lack of interest in maintaining or managing it.

• Out-of-Town Owner: The owner was not local, often making them more receptive to selling to avoid the hassle of managing repairs and tenants from a distance. 

2. The Strategic Plan

Because the landlord was initially unwilling to sell, the approach shifted from a standard inquiry to a professional investment proposal: 

• Documenting Deferred Maintenance: Instead of just asking to buy, we listed all necessary repairs (e.g., roof, HVAC, electrical, plumbing) to highlight the liability of the property.

• Estimated Repair Costs: By assigning a specific dollar value to each repair, the buyer demonstrated to the landlord that their net profit from renting was being eroded by maintenance costs.

• "As-Is" Valuation: The property was valued based on its current distressed condition rather than its potential value, bridging the gap between the seller's initial refusal and a realistic purchase price. 

3. Negotiation and Closing

• Market-Based Offer: Utilizing local comps ($185k–$200k), the buyer justified a $120,000 offer by highlighting that the repairs, holding costs, and investor profit margins required a lower entry point.

• Eliminating Friction: By offering to buy "as-is," the buyer removed the need for the landlord to do repairs, stage the home, or pay agent commission fees.

Here is the breakdown of this Remodel and Resale project in September 2020: The Sale

1. Strategic Partnership & Network Leveraging

• Market Entry Support: We facilitated a successful market entry for an experienced fix-and-flip investor during their first Oregon-based project. By providing access to our established network of trusted contractor referrals, we effectively bridged the experience gap in a new territory.

• Cost Management: To navigate the investor’s unfamiliarity with the Prineville market, we utilized our local trade discounts to source high-quality building materials at cost-effective rates. 

2. Target Capital Allocation & Value-Add Strategy

With a focus on maximizing ROI within a disciplined budget, capital was strategically deployed toward high-impact improvements:

• Permitted Capacity Expansion: To enhance marketability and value, we converted a 2-bedroom layout into a 3-bedroom residence. This was achieved through a permitted garage conversion, which included structural wall-ins, the installation of an egress window, and a built-in closet.

• Modernized Culinary Space: The kitchen underwent a full aesthetic and functional upgrade, featuring 3cm Quartz countertops, an oversized stainless steel sink, and premium hardware. Modern marble-patterned laminate tile flooring and a fresh color palette were implemented to align with contemporary design trends.

• Curb Appeal Optimization: We prioritized exterior enhancements to drive buyer interest, adding a custom porch for outdoor living. The landscaping was upgraded with a gravel and paver walkway, a new concrete driveway, and a bold accent door to create a memorable first impression. 

3. Market Performance & Resale Results

• Strategic Pricing: While After Repair Value (ARV) comparables suggested a range of $214,000, the superior quality of the finishes allowed for a premium pricing strategy.

• Execution: The property generated multiple offers immediately upon listing.

• Closing: The project concluded with a final sale price of $245,000, significantly outperforming local market averages.