Diary of an unusual type of flip!

Diary of an unusual type of flip!

Wholesaler · Lenoir, NC · Member since 2013 · 297 posts · 127 votes

I have been a member on the site since September of 2013 and I have learned an amazing amount from the site and I thought it was time to try and help others out. I have read a lot of the different Diary forums on BP and I love them all and especially the ones by J. Scott. I am also reading the books on flipping and rehabbing by J. Scott. I purchased a property I was going to rent out and I decided to try and flip it instead. It is not a usual type of flip I am going to everything myself. I know its a no-no to try and save money by doing it yourself but I thought that I would do this to help rate the difficulty of each project. I also love doing this type of work. Now don't get it wrong this is not my everyday job and I am not a contractor. I am going to prove that an average person that is willing to learn can do these things. This flip is not going to be about saving money because it's like J. Scott and many others have said there are other things that can be done to make better money. I am also using it to be able to spend so time with my dad and my sons to do as a family project. I will try in the next week to get caught up on where I am at and I will try and post pictures if and when I remember to. If there is anything you want to see pictures of questions to ask lets have them.

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Residential Real Estate Agent · Cookeville, TN · Member since 2013 · 1k+ posts · 948 votes
12y

I'm looking forward to having my kids help me in my flipping business some day too. Not only the business part of it, but also some hands-on stuff. I think it's important that children learn how to do hard work. Reminds me of a story.

There once was a man who put in a field of corn. One day he was out in the field working with his sons. The neighbor happened by and asked him, "man, why are you spending time raising corn when you can buy the stuff really cheap over at the farmer's market". And the guy replied back, "I'm not raising corn - I'm raising sons".

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  • Dawn AnastasiPro Member
    Rental Property Investor · Milwaukee, WI · Member since 2013 · 6k+ posts · 4k+ votes
    12y
    Originally posted by @David Lee:
    I am also using it to be able to spend so time with my dad and my sons to do as a family project.

    This is a great reason to be hands-on -- family time. When family members work on a project together, many times there is laughter, frustration, and other emotions that really bring people together.

  • Property Manager · Livonia, MI · Member since 2011 · 4k+ posts · 1k+ votes
    12y

    U will get in a big fight and pisss each other off. But good luck. I love working on the houses too.

  • J ScottPro Member
    Moderator
    Investor · Sarasota, FL · Member since 2008 · 18k+ posts · 17k+ votes
    12y
    Originally posted by @David Lee:
    I am going to prove that an average person that is willing to learn can do these things.
    ....
    I am also using it to be able to spend so time with my dad and my sons to do as a family project.

    If you're going to do the work yourself, those are two of the very best reasons to do it!!! I look forward to doing the same thing with my kids when they're a little older...of course, I'll probably have to bring in real contractors when I'm done to fix all my mistakes... :)

    Looking forward to following along...

  • Wholesaler · Lenoir, NC · Member since 2013 · 297 posts · 127 votes
    12y

    thanks @Dawn Anastasi and @J.Scott.

    @George P. it says like you know us already. I almost pushed my dad off the roof yesterday lol.

  • Real Estate Investor · Clinton, MD · Member since 2012 · 23 posts · 0 votes
    12y

    All great reasons to me. The time spent with your family is invaluable and will create memories that you will have forever. Kudos to you. Look forward to following you in the process.

  • Wholesaler · Lenoir, NC · Member since 2013 · 297 posts · 127 votes
    12y
    1. Here are some pictures of the property that I am flipping.
  • Wholesaler · Lenoir, NC · Member since 2013 · 297 posts · 127 votes
    12y

    Here are some of the outside.

  • Residential Real Estate Agent · Cookeville, TN · Member since 2013 · 1k+ posts · 948 votes
    12y

    I'm looking forward to having my kids help me in my flipping business some day too. Not only the business part of it, but also some hands-on stuff. I think it's important that children learn how to do hard work. Reminds me of a story.

    There once was a man who put in a field of corn. One day he was out in the field working with his sons. The neighbor happened by and asked him, "man, why are you spending time raising corn when you can buy the stuff really cheap over at the farmer's market". And the guy replied back, "I'm not raising corn - I'm raising sons".

  • Rental Property Investor · Douglas County, MO · Member since 2014 · 1k+ posts · 1k+ votes
    12y

    Interesting way to flip a house.

  • Contractor · Scottsdale, AZ · Member since 2010 · 2k+ posts · 3k+ votes
    12y

    David -

    This is VERY exciting, and I'm looking forward to following along! After seeing the pictures, all I have to say is WOW. You guys are taking on a serious project! I'm sure it will be a great educational and bonding experience.

    BTW, if your first step here in the flipping process could be to flip those images around, it would be a bit easier on the eyes :)

  • Mindy JensenPro Member
    BiggerPockets Money Podcast Host · Longmont, CO · Member since 2014 · 7k+ posts · 10k+ votes
    12y

    If there is any part of the flip that none of you know how to do, hop on over to youtube.com and type in what you are looking for. You will most likely find thousands of videos on that subject. Some are great, some are a waste of time, but you should be able to find in-depth videos to teach you how to do almost anything.

  • Dawn AnastasiPro Member
    Rental Property Investor · Milwaukee, WI · Member since 2013 · 6k+ posts · 4k+ votes
    12y

    Well, you certainly flipped the house already! :)

  • Wholesaler · Lenoir, NC · Member since 2013 · 297 posts · 127 votes
    12y

    @Mindy Jensen that is the weigh I find out how to do most of the things I do not understand. It's something that everyone should do.

    @Dawn Anastasi it's defiantly flipped. Lol. It's gonna be a job everything almost to the studs.

  • SFR Investor · Warsaw, IN · Member since 2014 · 59 posts · 13 votes
    12y
    Originally posted by @David Lee:
    . I am also using it to be able to spend so time with my dad and my sons to do as a family project. .

    We also pay our kids when they do work on "income producing projects" as opposed to being forced to help around the house. Just cut my college freshman a check for $250 for the work he did while home on spring break. In addition to providing them with the valuable life skills of home repairs/rehabs we are providing them with a concrete link to work=money.

  • Real Estate Professional · Mechanicsburg, PA · Member since 2012 · 319 posts · 167 votes
    12y

    Wow that house even has broken gravity! piles of trash on the ceiling!

  • Property Manager · Livonia, MI · Member since 2011 · 4k+ posts · 1k+ votes
    12y

    how did you make the bath tub stay on the ceiling? would you provide belts for the tenants to use as they hop into it?

  • Investor · Kansas City, MO · Member since 2013 · 465 posts · 170 votes
    12y

    This is going to be fun to watch... did you get those suction shoes from cartoons to carpet the floor..err... ugh...... :D

  • Wholesaler · Lenoir, NC · Member since 2013 · 297 posts · 127 votes
    12y

    I have not had the time to update as much as I would like but in 2 weeks to tear the roof of and put another roof on. There were 3 roofs on the house and there was nothing easy about it. I think that were I live there should be no more than 2 layers. So whoever put the last one was trying to take the easy road. I enjoyed doing it because I like to stay busy and sweat a little bit since I usually don't have a lot of time to work out. Now this is definitely one of the projects that your typical investor would want to have a professional to do. We purchased several different tools to help make the job easier. We had an air powered tool to help take the shingles off but, it weighs about 75 pounds and you get tired pretty quick holding it up and it vibrating you to death. With the breaks that you have to take from getting tired from holding it up its just as easy to use the hand tools but just be sure to wear gloves because it will wear blusters on your hand even with gloves.

    As for putting the tar paper on the roof we used a slap stapler. This works good if the wind is not blowing or your not on a step slop. If I do anymore I will use cap nails. These cap nails have a plastic head and a nail thru it which helps to hold the tar paper down and actually gives you something to grip on with the stepper roofs. They are fairly easy to put down but they also make a air gun for these but its over $300 and I don't know how many roofs I will be doing. I used 15# tar paper and the next I will use 30#. The 15 is lighter and wrinkles easier. If it gets wet it wrinkles up easy. The 30# is twice the same price but the roll only does half as much.

    I decided to go with architectural shingles which cost more then 3 tab but they give a better look to the roof. I purchased a roofing gun from the local Lowes for around $200 and it helps a lot with. I could put on at least 3 to the time someone else could nail 1 by hand. I didn't just by it for the roofing because the gun has an adjustment on it so it can also be used to put on siding as well. It took us 2 weeks because we didn't work on the weekends and it rained heavy several days. I would not recommend your usual flipper to do this and save money. My carry cost on this flip are very little so it should not bother me as much, but for high priced area the carry costing would have killed what I saved.

    Roofing materials

    Shingles-$1575-10% for contractor price= $1,417.50

    Accessories, nails, tar paper, starter shingles, etc. = $ 371.68

    Nail gun = $ 216.00 Total= $2,005.18

    -10% milatry discount =$1,804.67

    THe price I had quoted =$6,000.00

    Money saved =$4,195.34

    Here are a couple of pictures.

  • Flipper/Rehabber · Elkhart, IN · Member since 2014 · 197 posts · 41 votes
    12y

    The roof is looking great. I'm curious as to how much you gave for the property and what the ARV is. It looks like a pretty big project. Any numbers on the rehab cost? We've always shy'ed away from properties when it needs a gut job. Also do you have an idea as to your time frame?

  • Real Estate Investor · Rochester, NY · Member since 2008 · 193 posts · 46 votes
    12y

    Well, that is certainly 1 way to "flip" a house.

  • Wholesaler · Lenoir, NC · Member since 2013 · 297 posts · 127 votes
    12y

    @Terri Lewis I purchased the home for$8,000 on auction.com. I also had to pay a $2,500 fee when you buy something using them. So my total price in is $10,500. The ARV is going to be around $100,000. I don't have a time frame because we are working on it as we have time. My payments don't start on it until May and they are only $150 a month. I hope to start putting some drywall up this week. I figure we will be done by the end of July. The main reason it is down to the studs is that all it had was paneling. I know that some of you said my pictures were upside down but they look right to me. Were the last 2 pics right?

  • Real Estate Professional · Mechanicsburg, PA · Member since 2012 · 319 posts · 167 votes
    12y

    the 2 new pics were right. all the old ones come up upside down for me.

  • Flipper/Rehabber · Elkhart, IN · Member since 2014 · 197 posts · 41 votes
    12y

    At the price you have paid, sounds like you will be able to afford to put a lot into it for rehabbing and make a really good return on your investment. I look forward to following your posts.

  • Investor · Kansas City, MO · Member since 2013 · 465 posts · 170 votes
    12y

    @David Lee

    That is amazing. And the last pictures were right side up. I love the new roof. On a side note, if you are ever looking at doing another roof, a fast/easier way if your not worried about riping the paper under the shingles is to use a 3 pronged hay fork. It slides right under the shingles press down and presto a mess of shingles are now free with/without their nails, when I helped with my parents house thats what we used, 3,000 sqft took me and my brother about 5 hours on a very pitched roof and ladders. By pitched I mean we could not stand on the the roof or we would fall off.
    Seriously 10k for a 100k house... Could you give us a break down on how much you are expecting to sink into rehab?

  • Queen Creek, AZ · Member since 2014 · 2k+ posts · 1k+ votes
    12y

    Just a thought on tools, for single use tools you might consider buying them new and keep the box. Then resell them on ebay with the box when you are done. You will wind up with nice tools to use and a very low cost "rental" with no late fees. I had a friend that did this when putting in hardwood floors and he used his floor stapler for a few months and sold it for a $75 discount when he was done. Way cheaper then a rental and it wasn't the usual garbage you get when you rent.

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