Flip or Raze Durham

[Greg Gibbs]

Long time lurker first time poster! I just purchased my third IP in Durham NC. It was a foreclosure, 900 sf 3/1. I had planned to flip into a more usable 2/2. The area is just a mile from some of the hottest parts of Durham. There is probably 80k of upside in the flip.

Alternatively, Durham is very friendly to options that increase density and affordability. I could certainly get a duplex or even a triplex on this lot and use as LTR #3/4/5 for us. 3 brand new units has its definite benefits.

I’m a newly minted GC with past residential construction experience, both new construction and rehabs. Our plan was to flip a few to get more capital and eventually end up with 10-12 doors.

Is there anyone who has done the same tear down and replace? The numbers seem to work from my napkin projections at a build cost of $90/sf.