First Foreclosure Investment Question

[Nawaz A.]

Hi Team,

I'm working with a Real Estate agent that found a Foreclosure for a fix n flip deal. He gave me the numbers below and I'm not sure I understand the Commission piece. Does this look shady? The "Mortgage" section is really just me borrowing money as a loan. 

Thanks for your help!

Out of Pocket

20% Downpayment

$150,000 - $30,000 = $120,000

"Mortgage"

$120,000 x 12% = $14,400

$14,000/12 = $1,200 monthly

3% Points = $3,600 Upfront

6 months x $1,200 = $7,200

Buying Closing Cost (title) etc.

$120,000 x 3% = $3,600

Attorney Fee = $1,500

Property Insurance 1 Year = $1,200

Repairs = $40,000

Commissions = $30,000

Resale Closing Cost

$325,000 x 3% = $3,600

Sales Commission = $19,500 ($325,000 x 6%)

Resale Attorney's Fees = $1,500

Miscellaneous = $3,000

Totale out of Pocket = $144,700

Total Profit: $325,000 - $264,700 = $60,300

Return on Cash: ($144,700) = 41.67% Profit