81: What Is A Fix and List with Eric Young
Everyone knows what a “Fix and Flip Deal” is (you can even check out Episode 26 with Steven Pesavento or Episode 47 with Ian Reeves to learn more). A lesser known strategy you probably have not heard of is a “Fix and List Deal.” What is a Fix and List Deal, exactly?
Eric Young joins us in this episode to explain that this strategy works as follows: you as the investor finds a homeowner who has a distressed property looking to sell. Then, you take your capital and renovate the property (like you would with a regular flip). Finally, the seller lists and sells the property (keeping the difference in ARV) and you get reimbursed for all your hard work!
Before Eric discovered the Fix and List strategy, he worked as a superintendent for a commercial contractor for eight years, fixing and flipping properties on the side. The problem was he couldn’t scale how he wanted and, like many people getting started in real estate, felt that the barrier to entry was too costly. So Eric set out to find a way!
Eric wanted to be able to scale his business, and not lose money on his portfolio. Fix and List Deals help him do just that! Of the 90 Fix and List Deals he’s done in the past three years, he’s only had two go sour! We’d say that’s pretty good!
As of today, Eric is currently improving his track record, as well as finding more ways to differentiate himself from his competitors. It’s not long until this strategy catches on so he’s doing what he can in order to get ahead.
If Eric could go back and talk to his 16 year old self, he’d tell him, “You’re never going to achieve your goal of making money until you help other people.”
An unexpected benefit of real estate investing, Eric said, was the power to turn a side hustle into a sustainable, long term business.
One piece of advice Eric would tell his friends looking to get started in real estate would be, “To start with a Fix and List Deal!”
Eric uses Xero to help with his bookkeeping, and recommends reading Built To Sell to help you get started investing in real estate.
If you’d like to get in touch with Eric Young or learn more about Fix and List Deals, you can find him at: www.fixandlistsecrets.com