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Hello BP Nation. As many already know, I am a full-time RE investor and have been focused on REO rehab flips for the past several years now. On occassion, I get too many deals at one time or deals that are outside my area and I offer these deals as wholesale opportunities to other rehab investors.
I currently have 6 deals running right now and over $2.3M in cash in the market (mine and that of my private investors). I have recently contracted 3 new deals (2 out m=of my area so wholesaling for sure and one in my area, but not enough cash or time to do it).
I also am switching gears somewhat as I have a very large and what will be time intensive business I am working on and need to downscale my rehab efforts. Therefore, my loss of full profits on these rehabs I would otherwise keep will now become wholesale opportunities for my investor friends, contacts and you all at BP Nation!
That said, here is the meat and potatoes:
North Hills, CA 4+2+2 (4 bed, 2 bath, 2 car attached garage) 1,570 square feet on a 7,597 sq. ft lot with operational and clean pool and spa. Home sits on corner lot in nice neighborhood (non- busy, no main street)
Your price to purchase is $245k (my contracted price is $235k). Must be all cash (real cash via bank statement in your name or YOUR business name) and you must be the actuual buyer, no wholesalers, no principles, no fund managers, just real buyer.
Rehab is $25k and is based on worst case estimate of interior. Home is currently OCCUPIED by previous homeowner (bank took back at trustee sale, is now current owner and I contracted this deal direct, it was never on the MLS). I am assuming that a full gut of the kitchen and 2 baths is necessary (it may not be) and included that in the budget. If the kitchen is good and only needs new appliances and touch-up/paint/stain, then cost of rehab could go down $5k or more.
Exterior looks fantastic, nice yards, stucco paint is great, only facia boards need paint. New garage door and pool looks great! Exit price is $359k based on comps I pulled. There are recent sold comps higher and a few lower, but lower are distressed sales or not in condition of this one once rehabbed.
To sum up deal:
$245k acquisition Price
$25k rehab
$270k all-in cost
$359k Exit
$89k gross profit margin
Address will only be given out to serious buyers who can prove they have the means to close this transaction so do not ask unless you can perform, are in the area and you email me a request. (My email is in my signature)
- Will Barnard
