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Updated almost 5 years ago, 01/16/2020
5 Flips Start to Finish!!!
Hey Everyone,
I began flipping houses more than a decade ago. I can recall how lost I was when I started and I wish that I would’ve had someone to guide me through the process and allow me the opportunity to avoid all of the mistakes and pitfalls that new investors experience. I’ve done a lot of thinking over the last few days about how difficult it was for me when I began. I thought about how hard it must be for the present investor without experience.
I am on Bigger Pockets almost every day and have seen countless examples of investors who talk about how much they wish they had a mentor or someone to help them along their investing journey. So, I’ve decided to try and help a little. I am a strong believer in “teaching people to fish” rather than merely “giving them a fish.”
Over the course of the next several months, I will be posting an on-going series that details my 8-phase process to flipping for (5) Atlanta properties. The price points of these investments range from $400,000-$750,000. The flips will include everything from new construction to major rehabs to full gut jobs…and even a really cool turn-of-the-century Victorian home located in Atlanta’s Grant Park Historical District! In addition, you will be privy to all labor and material costs. I’ll even share the material SKUs I use on these 5 flips. I will try to answer all questions as I guide you through this journey, step-by-step. And there will be plenty of before, during, and after pics for your viewing pleasure and even some videos.
I wish that someone would’ve done this for me ten years ago. It would’ve saved me tens of thousands of dollars and a whole lot of stress! Keep in mind, however, that flipping properties will never be easy. It takes a lot of hard work, on-going education, and dedication to flip and turn a profit. And unlike many of those TV shows and news reports, house flipping, although seemingly simple, it's not as simple as it seems! I'm going to do my best to simplify the process. At least once a week hopefully more, I will be sharing one of the eight phases of the flip as we do them. I’ve put together the following checklist for each of the eight phases - which simplifies what, in reality, can become a very complicated process. I want to remove some of those complications! Here are the 8 Phases of the Flip:
The 8 Phases of Flipping:
1. Project overview - basic info, size, location, numbers, how found property, budget, blue prints, permits, surveys
2. Demo - cost, number of dumpsters, time start to finish, crew size, landscape clean-up
3. Rough Construction - framing, electrical, HVAC, plumbing
4. Exterior - window, siding, roof, decks/porches
5. Interior - drywall, trim, doors, flooring, paint
6. Kitchen - layout, cabinetry, countertops, backsplash, appliances
7. Bathroom - vanity, countertops, fixtures, tile, floor, shower, accent
8. Finished product - landscape, punch list, cleaning, branding, staging
Be sure to keep in touch and feel free to submit any inquiries you may have. I’ll do my best to answer all of them. If you happen to be in the Atlanta area, Maybe I could show you the flip process in-person if you would like.
For now here are the 5 houses: The next post will be later today explaining each of the 5 houses in detail. Lets do this!!!
Thanks and see you later today with a post for each house!!
Andrew
That's fantastic! Thank you Andrew for sharing your knowledge, truly appreciate it. I'm in the process of figuring out how to get property #2 so I look forward to your posts. And if you are ever find yourself in the Milwaukee area, let me know!
Nicole
@ Andrew Cordle,
Thanks for staring this thread and sharing the information. I live in the Metro Atlanta area and would be very interested to look at the flip process in-person.
417 Augusta Ave SE
Atlanta, GA 30315
This 3-story Victorian home was built almost a century ago in 1920 and is located only 100 yards from Grant Park in the historical district of downtown Atlanta. This Victorian is one of the largest homes in all of Grant Park. The heated square footage is 3384sqft and includes 6 bedrooms, 4.5 bathrooms, and 8 separate fireplaces! It even has it’s own separate 1000 square foot guest house. The ceilings are 12 feet plus throughout the home which includes a vaulted kitchen ceiling as well as loft space on the third floor. The home is located in Grant Park, the oldest city park in Atlanta. Grant Park was founded in 1882 and serves over 2 million visitors annually. It is also the location of the Grant Park Zoo which is known today as Zoo Atlanta.
OK guys so here is the first house, I will keep in touch on Phase one very soon.
Andrew
Very cool! Looking forward to seeing the progress.
528 Angier Ave NE
Atlanta GA 30308
This historical home was built in 1920 and is located in the Old Fourth Ward neighborhood of east Atlanta. The home’s square footage is 2729sq ft, and it sits on a 6891sqft lot.
The home also includes 3 bedrooms and 2 bathes. The Old Fourth Ward neighborhood has garnered national attention as “a cradle of culinary and artistic innovation and as a symbol of gentrification.” The neighborhood is best known as the location of the Martin Luther King Jr. historical site. In 2010, Atlanta-based newspaper, “Creative Loafing” awarded the Old Fourth Ward neighborhood as “The Best Bet for the Next Hot Neighborhood.” In 2011, the neighborhood celebrated the opening of the “Historic Fourth Ward Park” and saw the kickoff of the “Ponce City Market” project.
Phase 1 will be coming shortly.
Andrew
1475 Mcpherson Ave SE
Atlanta, GA 30316
This diamond in the rough is located in the East Atlanta Village neighborhood. It has 1151 sq ft of space and currently includes 3 bedrooms and 1 bath. We are taking the opportunity to completely tear down and rebuild this home that was originally built in 1935. The East Atlanta neighborhood has been around since the late 1800’s and was voted as Atlanta’s Best Neighborhood for two consecutive years in 2007 and 2008. East Village is known as being a friendly, warm community and residents rave about the local Farmers Market. Parking in East Village is never a problem and there’s a wide variety of food, entertainment, and coffeehouses that make East Village a peaceful and pleasant community to be a part of!
House number #3
Andrew
1513 Glenwood Ave SE
Atlanta GA 30316
This home was built in 1958 and is located in Atlanta’s East Village. It includes 2 bedrooms, 1 bath and is 1145sqft of living space. This will be a complete tear-down and rebuild from top to bottom. The East Atlanta neighborhood has been around since the late 1800’s and was voted as Atlanta’s Best Neighborhood for two consecutive years in 2007 and 2008. East Village is known as being a friendly, warm community and residents rave about the local Farmers Market. Parking in East Village is never a problem and there’s a wide variety of food, entertainment, and coffeehouses that make East Village a peaceful and pleasant community to be a part of!
Andrew
1513 Glenwood Ave SE
Atlanta GA 30316
This home was built in 1958 and is located in Atlanta’s East Village. It includes 2 bedrooms, 1 bath and is 1145sqft of living space. This will be a complete tear-down and rebuild from top to bottom. The East Atlanta neighborhood has been around since the late 1800’s and was voted as Atlanta’s Best Neighborhood for two consecutive years in 2007 and 2008. East Village is known as being a friendly, warm community and residents rave about the local Farmers Market. Parking in East Village is never a problem and there’s a wide variety of food, entertainment, and coffeehouses that make East Village a peaceful and pleasant community to be a part of!
Andrew
Thank you so much for starting this, I will be learning from you.
Thanks for posting this! I am one week into my first rehab and yes, feeling a little lost in the process. I'll be looking for updates!
I noticed that in the photo with the Victorian turrets that the upper turret windows were replaced (glass is flat) but that the lower windows were original with the glass following the curvature of the turret. What is your plan for those windows?
Thanks for your information! It really helps.
How in the world were these places available? In a place as big as Atlanta, surely there are investors with a pulse on every single inch of the city. Why werent they already scooped up? Im in east Orlando, and it seems like I need a "sixth sense" to even have a chance at landing a property. Rant over...
Cant wait to see how these homes turn out!
Nice Andrew that's great. Can't wait for the before/after video. Befores are done.
@Manesh Hardeo @Patrick Jacques @Mary june Martillo @Steve Babiak @Nicole Pettis @Nicole Grant @Tom Yung @Bijal Patel
Hey guys,
Thanks for the comments I will have a pretty cool post on one maybe two houses this coming week. Stay tuned and I would love any feedback or questions.
On the spiral, you are right, the bottom windows are rounded and the second floor is squared off and the top section was closed off. We plan on opening the third floors up. I am not sure if we are going to go back with all rounded or all square we will get a price for the rounded windows but I have to say I am a little concerned about that price.... We will see.
You are right about ATL the market is very very tight and investors have every inch covered, but that is also my market as an investor and we watch a couple main areas and as soon as they come available we are signing contracts and locking down. And to clarify I mean within minutes they become available we have them locked down. In the post above you will see one of our local wholesellers who provides us great deals. @Manesh Hardeo
Thanks Again.
Andrew
Thanks for sharing, @Andrew Cordle . Can't wait to see what you do with these houses! I lived in and fixed up a house in East Atlanta several years ago and really enjoyed it. There are some beautiful houses with a lot of potential over there!
@Andrew Cordless
Thank you Andrew, this will be great information for us newbies
@Andrew Cordle Thanks for sharing the pictures. I would love to check out one of your flips in progress. I was actually hoping to catch you last week at the master mind group but I realized later that it was moved up by a week plus I was in NYC. Anyways hoping to catch up with you on the next one.
This is great! I'd love to know how you acquired these properties and all the financials?
@Andrew Cordle ....First off, let me say thank you for taking the time to do this, very much appreciated.
Also, i am looking to do my first flip/rehab and this truly will come in handy for my first one. I have seen all the others you have done and they came out amazing.
Good luck with these!!
This is amazing, look forward to following the progress. The Old Fourth Ward, Cabbagetown, East Atlanta Village are areas I'm very interested in. I bought a condo in The Stacks in Cabbagetown last year that I've rented out and have been wanting to find a SFR to rehab around there. You're right though, it seems everything on the MLS is either already rehabbed or way overpriced for a run down property.
HERE WE GO!!!
Phase One (& a Little of Phase Two) - Grant Park: 417 Augusta, Atlanta GA
We're very excited to presentour first post for our five Atlanta-area houses that we will be teaching on during these series. We have multiple jobs starting right now, some of which are not even these 5 houses that I am discussing right now as well as flips going on in 3 different states. I have done well over 200 flips and continue to do more, but I first want to discuss my favorite house of all time, a Historical Victorian House located in Grant Park in Atlanta. In a previous post, we established and defined “The 8 Phases of the Flip,” and today, I want to discuss Phase 1 and a little of phase 2 for this historical Victorian house. Since this is a historical rehab, there is plenty of extra "red tape" so I bounced a little between phase 1 and phase 2 on this flip.
PHASE 1: Project Overview -
Size - 3 story, Main 2 floors over 3000 sq ft with additional 600 sq ft in usable attic. As it sits now, 4 bedroom, 5 bathroom house. Master suite includes private sitting room, 10x10 balcony overlooking historical Grant Park along with 2 original fireplaces in the sitting room and the master bedroom. The househas a formal living room, study, and dining room on the lower level.
Location - As they say in real estate, "LOCATION, LOCATION, LOCATION!" This is a prime example of that. We are on a huge corner lot that overlooks the historical Grant Park and Atlanta Zoo. An extra bonus to this house is that it’s located one block away from a highly acclaimed charter school, giving the owners of the house first selection into this school.
Numbers - Purchase 225k, rehab 250k, after repair value 750k. We had $5000 earnest money (all cash) closing immediately, no contingencies.
How I found property - Through one of our local whole sellers. We put the home under contract within 1 hour of it hitting the market, this house also had multiple cash backup offers on the property
Budget - 225-250k, finalizing final numbers with general contractor and subs
Blueprints - see attached, laser drawing stage. We are taking our time on this house because of what it is, as well as the market is continuing to skyrocket here in Atl. So we are still working on official new layout but I attached the as is existing floor plan.
FIRST FLOOR
SECOND FLOOR
Permits - in process, historical house causes longer duration
Surveys - see below
PHASE 2: Demo (part one) -
Landscape cleanup - Due to this house being unoccupied for over 12 years and the fact that the people previously living there were hoarders, we had an excessive amount of cleanup and landscaping demo to do at this property. One of the reasons we skipped to Phase 2 and did the landscape demo is because this house was buried in overgrowth, as you can see in the photos. We wanted to bring this property back to life by getting the neighbors and community excited and talking about this property being restored. I can assure you - this idea for marketing works! We had well over 50 different neighbors stop by and thank us dearly for making the neighborhood better and cleaning up this property that’s been an eye sore for over a decade. Several of the neighbors even mentioned that they did not even know there was a house sitting there because of the landscaping being extremely unattended! Stay tuned for our next post regarding a different property in Atlanta - a brand new house!
17 Dumpsters on cleanup and landscape cleanup. $5,950
Labor for cleanup was $4,500
Hope you enjoyed the post so far feel free to ask questions I will be posting again this upcoming week on a different house.
Andrew
PS I will try to get my assistant to post some more pics later.
kick ***!!!
@Andrew Cordle: Thanks Andrew for this. This will help tremendously. I look forward to following it.