For experienced flippers:

Rehabbing & House Flipping
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For experienced flippers:

Siahna ImBusiness Member
Lender · Lakewood, WA · Member since 2021 · 76 posts · 28 votes

What's one thing you know now that you wish you knew before your first flip?

Could be about contractors, financing, ARV, inspections, timelines, or anything else.

Pacific Equity & Loan.4.684 Reviews
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  • James JonesPro Member
    Investor · Collierville, TN 38017 · Member since 2017 · 678 posts · 491 votes
    22h

    I wish I'd known that ugly and broken are two different budgets.

    Ugly is cosmetic — paint, flooring, fixtures. Broken is systems — roof, HVAC, plumbing, electrical, foundation. I buy ugly houses in Memphis under $100K because the discount is real and the fix is predictable. I run from broken unless the numbers are stupid-good, because one bad system wipes out your spread.

    My rehabs are 2/1 to 3/1 and 3/1 to 4/2 conversions. Adding a bedroom jumps ARV and Section 8 rent ($1,395-$1,950 for 3BR+). But I only do it when the bones are solid. Learn to tell ugly from broken on the walkthrough, and you'll stop blowing budgets.

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    • Siahna ImBusiness Member
      OP
      Lender · Lakewood, WA · Member since 2021 · 76 posts · 28 votes
      14h

      That’s a great distinction, “ugly vs. broken” can make a huge difference in a rehab budget. Knowing what’s cosmetic versus a potential money pit before you buy can save a lot of headaches. What’s your go-to way of spotting those major system issues during the walkthrough?

      Pacific Equity & Loan.4.684 Reviews
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  • Erik EstradaBusiness Member
    Lender · Member since 2022 · 6k+ posts · 1k+ votes
    17h

    The draw fees and the requirements to request draws. This is what makes a deal smooth or tough.

    [email protected]818-269-7983
    LuxePrivate Investments LLC 572 Reviews
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    • Siahna ImBusiness Member
      OP
      Lender · Lakewood, WA · Member since 2021 · 76 posts · 28 votes
      14h

      Absolutely! draw requirements can have a big impact on how smoothly a project moves. Understanding the process upfront can help investors plan their cash flow and timeline better.

      Pacific Equity & Loan.4.684 Reviews
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