My First Flip! With Numbers and Photos!

My First Flip! With Numbers and Photos!

Pensacola, FL · Member since 2017 · 163 posts · 312 votes

I realize I do not have a ton of posts here on Bigger Pockets, but I can’t emphasize enough the impact BP has had on me in a short time.  In the interest of community and sharing success stories with others that might be looking for some motivation, I wanted to detail my start in RE.  I’ll try not to be too lengthy, but I think people can identify with these stories a little better when there is some personal context.

My name is Ben Ervin and I am a Program Analyst for the Naval Education and Training Command in Pensacola, FL.  I enjoy knowing what I do is impactful and supports the Sailors that serve our country.  But, I have always had an attraction to the idea of entrepreneurship.  I’ve known since I was 13 years old that I wanted to be my own boss one day.  Yesterday marked a big step towards that goal when my wife and I listed our first flip property on the market.

In October of 2017 I decided to stop thinking about flipping houses and start educating myself on how to get in the game.  I found that a friend of mine, @Nick Armstrong, was flipping houses and got a chance to talk shop with him a bit and he directed me here to BP.  From that point, it took me 4 months to close on our first deal.  It hasn’t sold yet, but we are in a hot market right now where I believe data supports a high demand for the product we are offering.  Beyond all of that, the really invaluable part of this experience has been education.  I have learned A TON.  We certainly made mistakes along the way, but I can take those lessons learned and leverage them going forward.  I intend to use this first deal as a launching pad to doing more deals, including additional flips in the near term with the goal of building a rental portfolio for long term passive income.

Now I will stop rambling and show you what we’ve done.  The house has not sold yet, but assuming full price offer, here is the breakdown by the numbers along with (everyone’s favorite part) photos.

Projected Numbers:

Acquisition Costs (AC): $70,635.50

- Purchase Price: $70,000

- Closing Costs: $510

- Termite Letter: $125

Rehab Costs (RC): $41,185

- Materials: $21,780

- Labor: $19,405

Holding Costs (HC): $870

- Utilities: $450

- Insurance: $420

Selling Costs (HC) *Assuming Sales Price (SP) of $175k*: $10,500

- Commissions to Agents: $10,500

Projected Profit: $51,810 – Taxes & Any Additional Selling Costs

- $175,000(SP) - $10,500(SC) - $870(HC) - $41,185(RC) - $70,635(AC) = $51,810

Now on to the photos...

Exterior Before:

Exterior After:

Interior Before:

Interior After:

I still have a ton to learn, but I look forward to trying to answer any questions you might have. Furthermore, if anyone here in my local market wants to just say hello, I invite you to do so. I hope to be more involved in the BP and larger REI community as a whole going forward.

Thanks for listening/checking out my progress so far and good luck to all!

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Most Popular Reply

James MasottiPro Member
Rental Property Investor · Washington Township, NJ · Member since 2015 · 1k+ posts · 976 votes
8y

@Benjamin Ervin - Can you share the scope of work? Looks like you got a lot of work done for $41k...either that or my construction cost are really just that much more expensive up here in the Northeast

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  • Investor · Woodbury, MN · Member since 2016 · 90 posts · 72 votes
    8y

    I'm sure I'm just piling on at this point, but great job.  I mean really, great job.  The place looks great and you seem to have made good decisions all along the way.  I hope you made some mistakes so you can learn something! ;0)  Anyway, consider me impressed.  Keep it up!

  • Orlando, FL · Member since 2018 · 9 posts · 8 votes
    8y

    congratulations sailer, i was stationed there many years ago as a master Sargent

    good job on the house, i hope you put some of your buddies to work to keep them out of trouble

  • Edmond, OK · Member since 2018 · 9 posts · 1 vote
    8y

    Beautiful! Love how you detail everything in detail by information and pictures.

  • Cedar Park, TX · Member since 2018 · 7 posts · 2 votes
    8y

    This is great! I love how you dramatically improved the property without "overbuilding" the property size/neighborhood. Hope it sells quickly! Congratulations.

  • Member since 2018 · 1 post · 1 vote
    8y

    Wow! This is great!

  • Member since 2017 · 1 post · 1 vote
    8y

    Love this flip!!

  • Investor · Carle Place, NY · Member since 2016 · 14 posts · 5 votes
    8y
    Two Thumbs up to you, congrats 😀.
  • Member since 2018 · 1 post · 1 vote
    8y

    Wow, that kitchen and bathroom look awesome. Great job!

  • Clovis, CA · Member since 2017 · 18 posts · 9 votes
    8y
    Looks like you did a beautiful job. On to the next one.....
  • Rental Property Investor · Pearland, TX · Member since 2018 · 35 posts · 12 votes
    8y
    So lovely! Great job!
  • Mount Pleasant, SC · Member since 2018 · 26 posts · 9 votes
    8y

    Great job getting your feet wet, and looking like you knew what you were doing at the same time.

  • Rental Property Investor · Dayton, OH · Member since 2015 · 79 posts · 85 votes
    8y

    Was that a load bearing wall you took out in the kitchen?

  • Member since 2018 · 6 posts · 3 votes
    8y

    Wow! You did such an amazing job! Wonderful!

  • TX · Member since 2018 · 1 post · 1 vote
    8y

    Really nice job! 

  • Chicago, IL · Member since 2018 · 36 posts · 16 votes
    8y

    @Benjamin Ervin sick flip man! Good luck with everything moving forward.

  • Wailuku, HI · Member since 2018 · 22 posts · 7 votes
    8y
    Great post! Just wanted to say congrats and nice work!
  • Investor · Murfreesboro, TN · Member since 2018 · 8 posts · 2 votes
    8y

    Great job Ben! The house looks amazing. Good design and material choices. Hats off to you my friend, keep up the good work and thanks for the dose of motivation. Cheers from LA! 

  • Member since 2018 · 13 posts · 5 votes
    8y

    Wow!  your after pictures are very inspiring... the house looks great.  I'm personally in the process of learning / planning my first real estate investment and also looking for where to move my family as we are currently renting.  I would love to live in a home that looks as great as this.

    Loved to see the numbers breakdown to understand how a flip can work out.  Thanks for the post.  Saint Louis send its encouragement your way!

  • Investor · Los Angeles · Member since 2017 · 22 posts · 12 votes
    8y

    Looks great! The best lessons are learned from experience and you're getting your hands dirty and feet wet, so that's all that matters. 

  • Decatur, GA · Member since 2017 · 2 posts · 2 votes
    8y

    Congrats and good Luck 🍀 

  • Lender · Dallas, TX · Member since 2018 · 22 posts · 8 votes
    8y

    I see YOU Ben!!!  BP...report this man for misleading the community, this is the work of a seasoned strategist...

    Cheers Ben, congrats and I look forward to seeing what a 2nd project looks like.  Stay inspired, motivated, and in great spirits!

  • Rental Property Investor · Cleveland, OH · Member since 2016 · 69 posts · 108 votes
    8y

    Stellar work and results...congrats!

  • Member since 2018 · 1 post · 1 vote
    8y

    That's a great one. Congrats.

  • Investor · Charleston, SC · Member since 2017 · 21 posts · 7 votes
    8y

    Amazing job on your first flip Ben!

  • Rental Property Investor · Iwakuni-Shi, Yamaguchi · Member since 2017 · 48 posts · 17 votes
    8y
    Congratulations! The house looks amazing!
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