How are Fix n Flips profitable?

[Blake Hrabal]

I'm reading tons of threads and articles on Fix n Flips...I'm still not understanding the numbers.

Look, I like to keep things as simple as possible...I feel like, we as humans have a huge problem making things more complex than they need to be.

Let me give you a mock up example that I pulled from a fix n flip thread right here on BP...these are the end results:

" Sale Price=$265,000

Rehab Costs=$44,000

Closing Costs=$15,000

Holding Costs=$5,500

Purchase Price=$156,000

Net Profit=$44,500  "

This is one of many cases  I'm seeing around - I don't understand....if...u put in 66k...but profit 44.5k - it sounds to me like you just lost about 15k after all your hard work and efforts to flip the house. 

I'm obviously missing something here and need to be educated. I read all these articles on how Fix n Flips can be lucrative over time once you get good/fast at it.....how, when all I see is..negative net profits. 

Another quick example off the top of my head and leaving out all the additional costs... but... if u bought a home for 100k..put in 50k rehab... sold for 175k...your profit is 25k..but if u started with 50k u put in...ur now negative 25k. Right? or Wrong?  

Or is THAT why you gotta do the math right first, to make sure that the property is worth investing in, in the first place.   Like it should be more... buy for 100k, put 20k in rehab... sell for 175k  and profit 55k.   Now your +35k from your original investment?