23 Years Young, First Flip, $36K P-R-O-F-I-T

[Mitchell Robert Classen]

The last time I made a post I had just closed on my first house. I bought it to flip. The rehab took about 5 months. Once it was listed, it was under contract in 2 days with an over-asking price offer. 

Rehab Scope: 

- Exterior siding

- Extensive plumbing work

- Electrical upgrades (power panel)

- Stripped master bath down to studs

- Stripped kitchen down to studs

- Flooring throughout

- Texture/Paint 

- Baseboard/casing

- All new electrical fixtures

- Plumbing fixtures

- Landscaping package

Lessons Learned: 

- Do what you do best, and delegate the rest.

- You will make more money with a cell phone than you will with a hammer

- If you spend all of your time managing the project, you will finish the project and not have another project to work on.

- Flipping houses is a "job", not passive income, hire a GC, focus on deal flow.

Here are some rough numbers:

Purchase Price: $80,000

Rehab: $78,000

Commissions/Closing:$10,000

   Utilities/Taxes: $3,000

              Total: $171,000

Sales Price: $207,000

Profit: $36,000