Reducing Rehab Costs

[Chase Freeland]

How can I cut costs for my flips? I hired a GC for my first flip and he did it pretty much “at cost” for me because I had a connection and he wanted my future business…. I bought what I think was a really good deal, but I can’t see how I would make as much as I did on this project if he were to price it normally…

For context:

Buy price: $140k

Renovation cost: $70k (was originally 50, but found many problems with the house)

Sell price (hopefully, I still have it): $260k

I also borrowed money for a family member, so subtract 20k from that profit.
Any tips on how to increase my profit margins once this contractor no longer gives me a first time flipper discount?

PS: I don’t know how to do anything myself.

[Caleb Brown]

What did the rehab consist of? From the numbers perspective it looks like a solid flip(if the 70k was something you can replicate). If it wasn't for paying 20K to a family member then I think you'd come out well.