New Flip Blog: We're Adding 1,055 SQFT: LA (Jefferson Park) Home
Hello BP Community! As many of you know, I created a blog for one of our recent flips in South Los Angeles with weekly updates. That flip was very successful as we completed the rehab in 11 weeks, had multiple offers and from purchase to close was only 4 Months. As some of you know, we are very creative and artistic when it comes to our flips and we perform upgrades that are not advised on the BP Podcast and many forums (we put colors on and inside our homes and fixtures that are very design-oriented....and not everyone will love it, but the few buyers we do attract REALLY love it) so it should be pretty interesting what we do on this flip.
My partner Zerik and I are now starting a new flip that I feel would be very interesting for BPers to follow, as this one is not your standard rehab. Why?
1. It's a little tiny ugly house: 672 Sqft
2. We are adding 1,055 Sqft
3. We are demolishing an entire garage and storage shed
4. We are getting multiple permits with the city of LA, which can be a huge headache
5. The home is in Jefferson Park and is in an area that is HPOZ (Historic Preserved Overlay Zone) which means there are only certain cosmetic changes we can make to the front of the house.
6. Marrying the old structure to the new one may be a bit tricky
With that said, with all of the moving parts and extended timeline, I will be posting Monthly updates instead of weekly. As before, please feel free to send any questions you may have.
Here's the deal:
ACQUISITION PRICE: $469K
REHAB BUDGET: $227K
ARV: $935K
TIMELINE: 32 Weeks to finish (8 Months) - We are being very conservative due to LA's reputation with permits...however, we hope to finish in 6 months.
FUNDING: We are using a Hard Money Lender in addition to private funds for our portion of the acquisition, a portion of the rehab and holding costs.
The home BEFORE images are below.
I will have my next update in 30 days to show what we've accomplished and updates on the rehab, timeline and budgets.
Thanks!
Shawn