Forgive me if this isn't posted in the proper forum, I am still getting familiar with the site.
This is the 30,000 ft view of a property I am currently looking at. This is probably the 30th house I've analyzed and it appears to meet my criteria. I am submitting this for opinion of the experienced flippers here on BP. I have bids on rehab costs already (see spreadsheet below), so those should be solid. I have a contingency placed into the rehab figure, as well.
|Labor (from page 2)||($13,900.00)|
|Materials (from page 2)||($16,380.00)|
|Commission To Agents||($7,800.00)|
|Buyer Home Warranty||($500.00)|
|Buyer Termite Letter||($50.00)|
|Buyer's Closing Costs||$0.00|
|Seller's Closing Costs||$0.00|
On to my questions:
- Other than potentially needing to pay some of the end buyer's closing fees, am I missing anything else that should be accounted for?
- This property is in a good area (about 1/2 mile from my primary residence), but is on a large lot with several trees and essentially no grass. It is a wrap around driveway, but is a dirt driveway. Do any of you investors that have flipped property in slightly more rural areas have any experience with this and how it has impacted the sale? The comps actually support an ARV of $140k, but with the property, I have factored in an ARV of $130k in my analysis.
Time to jump in!!!
Thanks, @Cody Campbell . My gut is saying the same thing. And I am relatively conservative by nature. I wanted to use this thread as sort of a vector check because I've had a few similar deals go under contract a day or two before I was prepared to submit an offer.
Assuming you are paying cash? The closing costs seem like A LOT.... Other than that question... seems like a sweet little package.
As for the driveway... compare it to your comps. Do they have dirt? Do they gravel it? pave? Remember you arent rehabbing it to HGTV, you are rehabbing it to compare slightly nicer than your targeted comps.
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