How do you analyze your flips?

[Adonijah Short]

I'm reading the book called Flip and in the book they have a model where it goes like this

ARV

-Repair Cost

-Quiet Cost

-Minimum profit

__________________________

(How much you should offer)

My question is does anyone else use this formula to do deal's and is it reliable?

[Kuba F.]

Flip is a good book, but the devil's in the details and the accuracy of those numbers are dependent on many factors.  I believe in that book they use rules of thumb/percentages for Quiet costs for example, which are too imprecise (and too low) for me to be able to use to determine my offers.

Here's a BP blog post I wrote with a list of costs you might expect in the Quiet costs category, 

https://www.biggerpockets.com/blogs/8814/70530-fix...

and you can see how fast that can exceed the FLIP percentage rules of thumb of: 

Buying 1.50%
Holding 1.50%
Selling 6.50%

Cheers!

Kuba