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Updated about 5 years ago,

User Stats

13
Posts
5
Votes
Dustin Bradley
5
Votes |
13
Posts

brrrr #'s not adding up...potential flip?

Dustin Bradley
Posted

Hey everyone I had a question on a potential property I was going to flip or brrrr. I will be using all personal cash for purchase & rehab...Here are the #'s

Class B Ohio Neighborhood
home 1940's

Purchase $75k

rehab costs: $15k

ARV: $120k

BRRR cash out 70%LTV = $84k

PITI: $657.00  ***High taxes in this area

Vac/Cap/Maint/Mgmt BREAKDOWN:

VACANCY  $103

CAP $37.50

MAINT $52

pm 1ST MONTH on new lease $87.50 ($1050/12)

PM 10% fee $105
Total monthly operating expenses $385.00

Rent: $1050.00

Cash flow after BRRR:  $9.00

or Flip potential +-$25k before taxes

Curious if my Operating expenses are inline, or anything else seems off?  Is this property just a pass with a brrrr strategy and do the #'s line up for a nice flip?

I am in a position right now where my life is not in need of extra cash flow and I have reserves to cover sudden expenses if needed. But obviously the cash flow would be nice.

Thanks in advance!


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