Advice for Folks Who Know Flipping in Denver
Hi All - I am a newbie, so would appreciate any help folks could give me on a potential deal for a flip. I wasn't planning on purchasing anything yet, but then happened to find this opportunity. I think I probably don't have my ducks in a row enough to proceed with this, but would like feedback.
There is a house for sale in my neighborhood that appears to mostly need cosmetic upgrades (no inspection done yet) - i.e. new kitchen/baths/paint, etc. No major demo or reconfiguration of the floor plan needed. It's for sale at $255 psf. Updated homes in this area sell for around $400 psf. The style is mid-century modern, which is very popular here. The bonus is that it has an Airbnb license and setup in the basement.
The real issue is that while I have excellent credit, I have minimal funds for a down payment (about 5%). Would there even be a way to get funding for a deal like this?
I don't have more details than this yet. Any advice or thoughts though from people that know the Denver market would be appreciated.
Most Popular Reply
If you haven't already, I would recommend speaking with a few excellent local lenders as a starting point to see what financing options might be available to you. If conventional financing isn't available, a hard money lender may be able to help you.
Is this is a listed property or off market? If it's listed at $255/ft2, I'd expect the final sales price to go higher than that, depending on location. The median list price per square foot in Denver proper is $374, while the overall metro average (Denver/Lakewood/Aurora) is $265.