Two Flips Underway This year!
Just wanted to share the two flips that we have underway this year. My goal is to knock down 8 of them by the end of 2013. So far, I am on track. I have one short sale that will be ready to close in a few months and another one hopefully going under contract in a couple of days(fingers crossed).
Flip #1- Purchase price: $193,000
ARV: $279,999
Rehab Costs: $32,000
Hard Money: $12,000
I got this deal from another investor who did not have the funds to close on the deal. He originally had a partner that he was going to do the project with, but that fell through for some reason and did not have the funds to close. He posted an ad on a local forum for investment properties. We contacted him and looked at the property the next day(Saturday) and closed on it the following Monday(100% financing for purchase price). The rehab took about 8 weeks to complete(we ran into a few snags with our contractor). It should have taken about 6 weeks. We ended up listing the property $10,000 over our initial ARV due to a hot market and rising prices. Still waiting for an offer.
Flip #2- Purchase price: $330,000
ARV: $520,000
Rehab Costs: $78,000
Hard Money: $30,000
This flip is currently under way and is scheduled to be finished in about a week. We picked this one up off the MLS. We ended up getting 100% financing for the purchase price on this deal as well and came out of pocket for the rehab costs. Due to limited inventory and the location of the house, we are going to list it at $525,000. Other comps in the area are moving in about 14 days.