minimum ROI FLIP - SoCAL

[Ari L.]

As a newbie, What would be the absolute minimum Return on Investment for a FLIP in Southern Cali currently? I have been playing with the Flip Calculator Analysis and would find it helpful for a healthy range that people are actually getting in this market. I understand this can vary tremendously depending on the assumptions of the deal.

Thank You 

[Will Barnard]

5% return for an active business investment with risk is a pathetic return and I would never consider doing a flip for that small if a return, regardless if market conditions. I could do twice that passively investing in other people's flips.

As an active investment in So Cal, you need to be at a 25% return at a bare minimum. Lower than that and your risk vs. reward and time value of money is not worth it in my opinion. Getting the commissions on top of the 5% is another job and still does not come close to the minimums I would personally require for said risks and time.