Deal Analysis Large Lot

[Marc Littmann]

Looking at my first flip deal and could use help making sense of the numbers. A couple of questions come to mind:

4BR, 2BA Brick ranch property sits on more than 1/2 acre in growing city with strong economy and rapid home appreciation last 4 years, 1960s construction with original everything, lead paint included free of charge! :-). 

A great location. ~1600sq ft. has city water but also septic, as this was very rural until city grew up around this street. Rural street with massive lots already has handful of remodels with some listing close to $1M ARV.

From BP flip calculator:

$900,000.00 After Repair Value (

$460,000 List Price 

$200,000.00 Rehab Budget 

$150,000.00 Profit 

Estimated Repairs Total: $200,000.00

Could use input on overall deal, as well as typical $cost/ft to add a second floor to bring total to roughly 3,000 sq ft. with a 2nd floor master and bath, perhaps an office or extra BR upstairs as well. Also seeking input on septic costs, as am new to this. Realtor thought a cleanout on annual basis or every 2-3 years max. Very large lot allows for many options on rebuild, to expand horizontally and vertically. Not sure if 200k is in ballpark for remodel with second floor addition. 

I am looking to make an offer in next week or two if I decide to move forward.