My first investment, my first flip

1 Reply

I have been a BP member for a few years now, mostly a lurker, listen to the podcasts and soak in what I can. I have suffered from a paralyzing fear of failure throughout my life. It can prevent me from even starting things that I really want to do. That being said it has taken me a little bit of time to make the plunge into real estate investing game. So here I am with my first deal closed. Here are the particulars:

4 BR, 2.5 Bath, 2 Car attached garage, 1888 square feet

Asking Price $110,000

Purchase Price $73,000

Estimated Rehab Costs $45,000 – Kitchen update, both the full baths, new flooring on the main level, windows and roof. This is not a home that needs high end finishes, more of a starter home neighborhood in a good suburban school district.

ARV $160,000

I want to have the house back up on the market in 60 days.

I get the keys today and am very excited to get the ball rolling. I will use this thread as sort of a running blog to keep me on top of things and keep you updated.

Originally posted by @Martin Peter :

I have been a BP member for a few years now, mostly a lurker, listen to the podcasts and soak in what I can. I have suffered from a paralyzing fear of failure throughout my life. It can prevent me from even starting things that I really want to do. That being said it has taken me a little bit of time to make the plunge into real estate investing game. So here I am with my first deal closed. Here are the particulars:

4 BR, 2.5 Bath, 2 Car attached garage, 1888 square feet

Asking Price $110,000

Purchase Price $73,000

Estimated Rehab Costs $45,000 – Kitchen update, both the full baths, new flooring on the main level, windows and roof. This is not a home that needs high end finishes, more of a starter home neighborhood in a good suburban school district.

ARV $160,000

I want to have the house back up on the market in 60 days.

I get the keys today and am very excited to get the ball rolling. I will use this thread as sort of a running blog to keep me on top of things and keep you updated.

Congrats on making the leap! Flipping can be fun and profitable. I wish you the best of luck.

Not sure if you're being conservative and overestimating your rehab costs, but those numbers seem high to me. I'm not sure I spent $45K on a house where the whole first floor had been flooded. If those are your numbers I'd try to get some new estimates from different contractors. Check out 123flip.com for some ideas on costs.