First Fix n Flip in Houston

[Alex T.]

Investment Info:

Single-family residence fix & flip investment.

Purchase price: $86,000
Cash invested: $15,000
Sale price: $161,500

First fix n flip in Houston with a hard money loan. Learned too much, but sold as the highest comp in the area for a remodel at close to 1700 sqft 4b/2ba

[Alex T.]

@Mike Burkett To be more precise, the actual purchase price of the property was 86K. However, the loan amount was for a 20K rehab (borrowed 105K of private money) and added another 15K on personal cash/small promissory note to a total of a 6 month, 45K rehab. 

The all-in cost was about 120K while the sale price was 161K. With closing costs, fees, etc, the net profit was around 35K @Account Closed which is about average, BUT the holding costs aka monthly interest, points, fees, time it took to complete the rehab would take the ultimate net after 6 months to almost 25K from the purchase date of the house. 

It is still a profit in the end. I think there should be an area on the post for "All In Costs".

@Jennifer Edwards Thank you. I'm wholesaling again. Will be holding off a fix and flip for a bit...