Few Basic Rehab/Flip question

[Justin Case]

I just looked at a 1700 sqft SFR I saw on the MLS in an ideal location. It is 1920's all original one owner estate sell, agent said very motivated.. I would fix it up like a flip and live in it. The relative is living in it now and it is clean for what it is and bathrooms are falling apart since it is original , it needs complete gutting.

Would you replace the oil heater with gas?

Take out the fireplace? It is in the middle of the main floor.

Tear down lath and plaster walls and replace with drywall?

Is it bad to buy an investment house where the side of the house is on a main arterial. I could put a privacy fence up.

List price is $134 sq ft and pro Appraisal is is at $230 fixed up (low end). I just had an appraisal on my investment property two blocks away so I know this.

Its just above the 70% rule in the city. I would offer the 70% rule price.

Once fixed and if rented would rent for $2K month easily.

This seems like a good deal by the numbers and but I am wondering why no one has made an offer with so many flippers in the area?

Thanks.

[Will Barnard]

The main street will adversely affect the value, typically by 10% on average. The repairs may be high and there could be some additional items you are not seeing which has caused other investors to shy away. If it is on the MLS, proceed with caution. Make sure the numbers are all correct.