$50,000 Profit Group Flip Before and After Pics

$50,000 Profit Group Flip Before and After Pics

Lender · Granite Bay, CA · Member since 2014 · 456 posts · 454 votes

See pics at the end!   A lot of people have asked me to write about it and share some of the details.  I hope this helps those of you that maybe run similar large groups, or those of you who just want to get more confident with the idea of flipping. 

It all started in November 2017 when I announced at one of my monthly meetings that I wanted to teach people how to flip, but I wanted to do it inside the actual home. In other words, a real hands-on type of flip. I am not a big fan of the many "Gurus" who charge big money for low quality events that never really teach anyone how to do anything.  I believe if you want to learn to flip and learn how to do a flip on your own from beginning to end, you need to get inside the home and actually see how the work is done, how to project manage it, how to save money on rehab, pick the designs,  stick to your budget, flip to the neighborhood comps, and market the home at the end.

I chose a home in the Sacramento area, a 3/3 1650 sq ft home almost 30 years old that needed to be completely remodeled.  A lot of people ask how I find my homes. I have a lot of different ways, but this one was brought to me by a local wholesaler who attends my meetings. He had the property under contract with the seller at $200K and was asking $235K.  I walked the home, ran my comps and felt the home was worth $235K in it's current condition, so we did an assignment and I closed the deal in the name of my Corporation.

The challenge for me was project managing this flip with 1,400+ people in mind, knowing that only a few would probably actually come to the home to work and learn.  I decided to schedule specific work days, with a project in mind, and also take questions.  

Our first work day was the "Demo Day", which I scheduled 2 weeks into the purchase to give everyone time to RSVP and attend. I knew I could hold about 30 people inside the home and teach, but it would be really crowded.  I had over 100 people RSVP, so I let the first 30 people attend the event inside the home.  All 30 showed up on time at 9am on a Saturday morning!  

The Demo Day was a great day of showing people how we demo tile flooring, laminate and carpet.  How we demo bathrooms and kitchens, etc... It was also an opportunity to take questions for about an hour. I found that once inside the flip, many of the questions were much better than the questions I get at my meetings.  Not everyone wanted to actually get their hands dirty, but everyone who watched seemed to really enjoy watching the house being torn apart!  Most people told me they were surprised at how much work it is, and how long it takes to gut a home.

The next meeting was a "Flooring Installation Day".  We brought another 30 people into the home and showed how we prepare, and start the installation of Pergo flooring.  The hard work was done in advance of leveling the cement floor with a 7" diamond grinder and a lot of dust!!!!  Yes, we used a vacuum dust collection system, but it is never enough, dust gets everywhere!  We started by putting down a Pergo approved barrier on the floor, which is waterproof.  We then used a laser to align the first plank and showed everyone how to keep your lines straight and your floor solid, with good expansion gaps.  We then let people help out and try their hand at installing a few boards.  People are always surprised at how easy it is to install this type of flooring, if you have good equipment.  A really good chop saw or the equivalent is a plus.

The flooring day was a huge success. I also took the time to answer questions for over an hour before and after the flooring work.

The last day we got together as a group was the "Design Day". The home was about 90% done at this point, but I had another 30 people come in and learn about design, and how to flip to your neighborhood.  For a lot of people, this was a priceless event, as they really have a tough time with design.  Design to me is just knowing what colors to use, what materials, and how to put it all together to make it look nice for the area.  There were so many great questions that I did nothing but answer for almost 2.5 hours!  We also showed our choices for outdoor landscaping at this event and how we did all the outdoor area and made them look amazing for under $3,000!  

This was my first experience with teaching a large number of people how to flip and doing it inside the actual property. I get asked to teach people how to flip all the time.  I did this project for free and did not charge anyone. 

You may be asking, "what about all the other work on the property"  Yes, most of the work was done away from the group, simply because of time constraints and 1,400 + members is a lot of people!  It's easy to teach with a TV show, where 1,000's can watch, but bringing people inside the home is a huge challenge.  There is so much more I want to say, but I think you get the idea.  

I spent almost exactly $50K on the rehab and profited almost exactly $50K, after all expenses and closing costs, etc... It took us about 75 days to complete the flip, which would have been faster but pausing for training days slowed the progress. The home was listed and sold in 4 days!  It was by far the nicest home in the zip code for sale!

34Reply
215 views

Most Popular Reply

Lender · San Antonio, TX · Member since 2018 · 109 posts · 108 votes
8y

Thanks for sharing! Great idea on the design day groups!

See this reply in the discussion

82 Replies

Jump to latestLatest
  • Atlanta · Member since 2018 · 5 posts · 4 votes
    8y
    I Would lIke To Learn To Flip homes Do You know Of a Good Program?
  • New York City, NY · Member since 2018 · 14 posts · 7 votes
    8y
    @David Oldenburg You did an amazing the job on this project. Great work!
  • Atlanta · Member since 2018 · 5 posts · 4 votes
    8y
    @David Oldenburg. I want To Learn!!
  • Norristown, PA · Member since 2017 · 7 posts · 1 vote
    8y
    @David Oldenburg Very nice work! Thanks for sharing.
  • Lender · Granite Bay, CA · Member since 2014 · 456 posts · 454 votes
    8y

    @Victor Garcia Cruz The best low-cost way to learn is to attend a local REI meeting and network with flippers and hang out on BP's and network with flippers in your area. Very few of the paid courses are really any good. I meet a lot of these guys and they are just wanna be gurus who are good at pumping people up and getting them excited but you never really learn how to actually do it. That's why I teach hands on inside the home.

  • Realtor · Charlotte, NC · Member since 2018 · 3 posts · 1 vote
    8y

    That makes so much sense! I agree that the lighting and sound need to be good quality for the videos to be helpful. Thank you

  • Sacramento, CA · Member since 2018 · 9 posts · 5 votes
    8y
    @David Oldenburg It looks amazing! Something like this would have been awesome to attend! It’s also great that you took the time to teach.
  • Flipper/Rehabber · Rockville, MD · Member since 2018 · 6 posts · 2 votes
    8y
    @David Oldenburg Wow! It looks fantastic! Congrats on the successful flip and training. I would have loved to participate in your hands on training if I lived in CA. Wishing you much success in your business. ✌
  • San Antonio, TX · Member since 2018 · 103 posts · 31 votes
    8y
    @David Oldenburg what a great idea. I'm sure many people will appreciate a day like this in LA. Kudos to you good sir!
  • Rental Property Investor · FL · Member since 2018 · 9 posts · 2 votes
    8y

    What an amazing opportunity for those able to attend.  Congrats on giving back and having such success, both for the trainings and the sale!

  • Rental Property Investor · Camden, NJ · Member since 2012 · 1 post · 1 vote
    8y
    @David Oldenburg It looks Great
  • San Antonio · Member since 2018 · 25 posts · 6 votes
    8y

    Looks great.  Congratulation on the successful flip.

  • Lender · Granite Bay, CA · Member since 2014 · 456 posts · 454 votes
    8y

    @Martha Michel It looks like you are local! You should check out my REI group meetings. They are FREE and there are lots of BP members who attend :-) I spoke to 115 real estate investors 2 nights ago and did a video and pic recap of this flip!

  • Lender · Granite Bay, CA · Member since 2014 · 456 posts · 454 votes
    8y

    @Samara Vasquez Thank you! Not sure if you are in a REI club or group in your area, but maybe ask them to do a similar project?

  • Lender · Granite Bay, CA · Member since 2014 · 456 posts · 454 votes
    8y

    @Alex Shin  I have been asked to flip several times in the LA or OC area. It's not too far away from where I am.  I know there are a ton of flippers in your area, so there may already be someone doing what I am doing?  Plus you guys have all the celebrity flippers in your area.  If I ever do training or a deal in your area, I will post it on BP's :-)

  • Lender · Granite Bay, CA · Member since 2014 · 456 posts · 454 votes
    8y

    I'm getting ready to start a new "wholetail" flip in a week and will also be posting along the way or doing a recap like I did on this one :-)  

  • Jana CainPro Member
    Enrolled Agent · Richmond, CA · Member since 2016 · 225 posts · 148 votes
    8y

    @David Oldenburg What a great opportunity for your group members! Kudos to you for your willingness to be a hands-on teacher. The house looks great!

  • San Antonio, TX · Member since 2018 · 103 posts · 31 votes
    8y
    @David Oldenburg I'll be on the lookout for your LA post! I recently spoke with a local flipper here and he used to host meetings at the projects like this but got fed up with the people who came through meetup.com and stopped doing them. This was literally last week !! ☠
  • Lender · Granite Bay, CA · Member since 2014 · 456 posts · 454 votes
    8y

    @Jana Cain  Thank you!  It was a great opportunity for the group. A lot of people learned so much about flipping :-)

  • Castro Valley, CA · Member since 2018 · 5 posts · 2 votes
    8y

    @David Oldenburg It's truly amazing how you were able to turn a pretty undesirable property to something so modern and expensive-looking without having to break the bank. The "after" for the kitchen looks so much bigger than before; is this camera magic or did you do some wall demolition? If you did break some walls to make the area bigger, was it just a gut feeling you had or is there a method you have in determining whether to do this?

  • Lender · Granite Bay, CA · Member since 2014 · 456 posts · 454 votes
    8y

    @Raymond Wai  The kitchen size wasn't changed, but the after pics were taken with a wide-angle lens.  I take all my after pics this way, as it makes it easier to see the entire room in a pic and it makes everything look bigger.  The "before" pic makes it look smaller than it is, an the "after" makes it look bigger than it is.  

    I'm glad you liked the way it turned out! 

  • Delray Beach, FL · Member since 2018 · 7 posts · 3 votes
    8y

    Love the teaching idea.. flip looks great.. will add mine soon..

  • Sacramento, CA · Member since 2018 · 9 posts · 5 votes
    8y

    @David Oldenburg yes I am local. I’m currently in sacramento. I requested to be added to the rei group and I got an email that I was accepted. So I hope to be able to go. Thank you so much I look forward to the learning experience and the networking. 

  • Kerry Noble JrPro Member
    Investor · Indianapolis, IN · Member since 2018 · 2k+ posts · 1k+ votes
    8y

    Beautiful! I saw a guy in the NJ area do the same with the teaching on site method.....great creativity.

  • Lender · Fresno, CA · Member since 2018 · 5 posts · 2 votes
    7y

    That is great wishing you the best on your business.

Join the conversationCreate a free account to reply, vote on answers and follow this thread.