First flip under contract!

12 Replies

So my wife and I have our first rehab project under contract after driving for dollars and mailing yellow letters for 4 months. Oddly enough this deal came from a FSBO sign I saw while driving a neighborhood on my way home from work last week. The home belongs to a very nice couple in their 70's who cannot keep up the property and have moved to Austin.

I just want to say thanks to all the fine members here on BP and @Joshua Dorkin for creating such a useful educational and networking tool!

Congrats and good luck!

Care to share the numbers? Or are you going to make us wait? :)

I was hoping you would respond J Scott. I have read your books 3 times now and really enjoyed them.

I won't make you wait :)

The home is a brick 1951 traditional style on a corner lot approx. 1900 sqft.

Contract price-$40k
Repair est.-$30k

We will be using hard money to fund 100% of the purchase and rehab.

Originally posted by Josh Rogan:

The home is a brick 1951 traditional style on a corner lot approx. 1900 sqft.

Contract price-$40k
Repair est.-$30k

First, thank you for the kind words...

More importantly, great deal! If those numbers are accurate, that's a home run for a project at that price point.

Congrats...and keep us updated!

Congrats, and I hope you have many more to follow. Taking the leap is huge, and your profit margin looks huge given the exit value. Looks like the potential for 30k+ for profit. If that is the case that is huge for a 70k-ish investment, and infinite of course for your situation. Great job really.

Thanks guys. I have projected about $25k in profit in my analysis and that figures taking 6 months and having another agent list the property instead of myself (im licensed). The cost of money is significant being hard money (4% orig. and 14% interest) but I would much rather pay that than not have a deal!

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