To Brrrr or To Flip... that is the Question!?!?!?

[KeShea' Kluesner]

What would you do?? We recently took a chance and decided to invest outside our immediate area in order to secure deals – a potential first flip or affordable rentals with good potential rental income. We have been buy and hold investors for the last 6 or so years. On last year, we bought a cute 3/1 in Beaumont, Texas for $45k. It sits on an acre and has lots of potential. It requires between $50K - $90K of repairs. I really wanted this to be a flip but sales in the area are slow or barely existent. Should we pursue the flip, and renovate at the higher repair amount, pushing our rehab budget closer to $90K or should we be conservative (or safe), do the bare minimum to get it ready to rent, and maintain it as a property that will be held as rental??? This could be a solid BRRR. Just some additional info: holding costs are around $650/month, and we owner financed the purchase… our first owner finance! Rents should come in around $1,400 monthly. Our ARV will be somewhere are $130K. If we added a room we might be able to increase that amount. I look forward to your feedback! THANKS! KeShea'