The first flip was a success!

[Ted L.]

Earlier this year I was finally able to complete my first flip. The project was a phenomenal success and Bigger Pockets played a huge role in that. It was a major first step that I have wanted to take for some time and I hope to complete many more deals after gaining some confidence with this one!

I have my second purchase under contract and before I embark on it I wanted to take this opportunity to document what made the first one a success and share that with those here who are interested. 

Here are the numbers (my favorite part):

Purchase: $55,931 including closing costs (All cash)

Renovation: $8,656

Holding Cost: $1,616

Selling Cost: $4,955

Sale Price: $106,435

Profit (split between two partners): $35,263

Timeline from close to close: 60 days (The buyer offered us all cash and no contingency) 

For the renovation we did very little of the work ourselves, we both have full time jobs. The day after we closed I had a crew of 4 guys there, after a few days we went down to 2 guys,  and the renovation took about three weeks. The scope was:

Clean out debris and furniture. 

Reconfigure the kitchen, paint cabinets, new hardware, new laminate counters, "tin" backsplash, new stainless appliances.

Remove carpet and refinish hardwood floors in living and bedrooms. Install new carpet in the large family room.

Paint most of the interior.

Install all new light fixtures. 

[Ted L.]

Ned, 

The cabinets were disassembled and painted with Cabinet Coat. New hinges and pulls were then installed when they were reassembled. Removing the wall oven and creating enough room for a standard with range was the most difficult part. 

I'm not sure I would recommend painting cabinets in the future. At least not if I'm paying someone to do the painting. Its one of those things that saves a lot of money if you do it yourself but a lot less if you are paying the labor cost to get it done.