Possible First Flip What Do You Think?

[Ron S.]

I Have decided to try my first flip, something I have wanted to do for awhile. The Property is a 3 bed Brick Ranch 1 bath with 2 car garage. Its a fannie mae forclosure. The house is 70k and needs about 10-12k work. I think i can do it for 10k but want to allow a few extra thousand for surprises. I will be doing most of work myself except the picure window and 3 slabs of concrete. Home is already in good shape mainly needs simple city code violations. The roof is newer on house on garage the furnace and air are newer no water damage in basement. Needs all new carpet new tile floor in kitchen. purchase price of 70k with renovations and closing costs should be into it for 85k when all fixed up and ready to sell. I figure it will take 2 months for rehab before listing so i will have carrying costs for 2 months plus the time frame to sell hopefully within 1 to 2 months. Home should sell for 115k when fixed. I am getting those numbers from comparables that have sold in the last 30 days. 110k being super conservative. Houses just like this one when rehabbed in this area are selling usually first week right now in the winter. Mine would be going up in spring which hopefully will be even better time to sell. So total figures are 85k in 2k holding costs. which should leave me about 20k profit after realtor fees and closing costs. What do you think.