Diary of a Cleveland, Ohio Flip
I started a thread elsewhere and realized it was in the wrong spot, so I’m moving it over here.
We’re about two months into a flip we’re working on in eastern suburb of Cleveland Heights, Ohio. I’ll do my best to catch you up! The home is 3,800 sq. ft. (large third floor) and was built 100 years ago. It's been owned by the same family since it was first build (a rarity in Cleveland Heights). The property is located near the Cleveland Clinic, University Hospital, University Circle, Case Western University, museums, etc.
I fell into this property as a result of a relationship I established with a local investor. He's been my "mentor" for the last year and after seeing my success in purchasing several rental properties, he decided to let me manage two flips for him. He purchased this home two years ago with the intention of flipping, but shortly thereafter bought a large apartment complex and put all of his crews on that job, As a result, this home has been sitting vacant. He's given me extremely favorable financing terms.
Here's a look at the financials:
Purchase Price: $72,000
Rehab Expense: $126,000
Holding Expense: $7,000
Interest Expense: $10,000
Selling Expense: $23,000
Foretasted Selling Price: $289,000
Projected Profit: $50,000
Here is a shot of the exterior: