Old houses, anyone had success?

[Ryan Diaz]

Me and my partner have completed two flips in our farm area and are currently in between deals in the market we know and trust. Been looking at some surrounding towns which are small but have great deals on old houses. Found a couple of deals with market research and numbers to back them up but the flips we have done have been newer houses, both in the 1950-1970 range. Anyone have experience flipping older houses? Seeing a lot of plaster and odd joist placements on walk throughs, lack of insulation etc. What sort of problems have people run into with older houses? The deals we are looking at are both early 1880-1900s remodels that have been foreclosed on and need minimal cosmetic work. 

[Daniel Johnson]

Hey Ryan, 

I only touch old houses for rehabs so everything you mentioned is going to be common, some of the things people have done in a 100yr old home over the years will leave you scratching your head. First of all make sure what ever you are doing is up to code in the area so you will pass all your inspections (even if the city does not require an inspection the mortgage company funding the end buyer will). Next I would look at what other rehabbed properties on the market to get an idea of what a buyer in that area (buying an older home) is looking for and expecting. You could have neighborhoods where people are just expecting cosmetics and cheap finish outs or a more high end neighborhood that a buyer would be expecting new systems, roof, foundation leveling ext.. so for instance the lack of insulation may be common and expected or it could be a must fix.. 

Also, pick up the phone and call a local top realtor. Make sure to be efficient with their time but most would be glad to answer some questions and point you in the right direction.