Rental Property Investor · Athens, TN · Member since 2019 · 13 posts · 4 votes
I put an offer on a house yesterday knowing the basement was full of mold. If my offer is accepted this will be my first flip. Yesterday, I was confident in my decision, today not so much. I know where the water is coming from (no gutters) and feel confident I can stop the water. Looking back at the pictures, the mold is extensive, especially with it being a finished basement. I guess what I’m looking for is this going to be alright? I know it is. If accepted I’m buying a $100000 house for less than $30000! The rest of the house is solid.
I would get a good mold remediation person in there to give you an idea on the cost as well as how effective their remediation might be. The reputable companies will offer a warranty on their work (2-10 years typically).
The mold houses are a big advantage because it scares most people away. Do your homework. Mold remediation can be expensive. I had a couple of attics remediated about 3200 each. The basement may require the removal of drywall and a bigger remediation then expected. I would assume 25,000 as a safe number. Sounds like it still works. Purchase 30,000 rehab 30,000 (correcting water infiltration) and you have 40K equity. Not a homerun but a nice flip 25K profit.