All Forum Posts by: Peter Hanson

CONGRATS!  you're inspiring a lot of people.  Keep up the grind and never look back.  Way to go.

My take away is, rehab and repairs in California are just so inflated.  Foundation work alone would probably be $5,000-$10,000, drywall, flooring, kitchen, bathrooms, roof, ceiling repair, electrical, plumbing, etc. for that size house would be easily $30,000-$40,000 in my experience.  Labor and material out here in CA is depressing.  

In a recent flip I did I needed to run a drain pipe from the laundry area to the kitchen about 10 feet away.  All that was involved was remove some concrete, run a pipe and tie it into the kitchen drain pipe.  The contractor quoted me $2,000 for the job.  I feel like it was about $200 in parts and $1800 in labor ( he was done in 2 days)   

I am so envious of people who own, rehab and manage properties in areas where costs are so much more affordable for the average person.  A new roof in CA is $8000-$15,000. A new roof on a similar size home in Oklahoma....$2400 -$3500

CONGRATS!!  KEEP UP THE GOOD WORK.  these numbers are outstanding.  Happy New Year

@Rich S. I have never used direct mail. I have lots of agents and wholesalers bringing me deals. I also find a few on the MLS

@David Jarvi you're right about Yucca, problem is all the contractors are on Meth...so it's a little tricky to get good rehab people

thank you Alex!   I wish I had the home price to rent income you have out there. I'd buy and keep everything instead of flipping...

7.3.18  Progress/Deal Updates

Deal#1 8432 Frankfort Ave, Fontana: paid 85K cash for 2/1 SFR, spent $15K on rehab, sold for $135K with 10 offers

Deal #2 1396 N. Althea Ave, Rialto: paid $86K cash for 2/1 SFR, spent 15K on rehab, sold for $156K with 37 offers

Deal #3 1886 Northwestern Place, Colton: paid $104K used hard money for 2/2 SFR, spent 14K on rehab, sold for $170K (5 offers to purchase, picked highest and best offer)

Deal #4 11705 Ivy Ave, Moreno Valley, CA: paid 85K used hard money for 3/1 SFR, spent ZERO on rehab, sold for $127K (buyer paid $110,000 cash, and agreed to a $17,000 1 year balloon note at 9%)

Deal # 5 and 6 - 38716 Tandika and 87 Conejo, Palm Desert: Tandika, purchase $168K, spent

$50K on rehab, sold for $272,000 - Conejo, purchase for $175K, spent $35K on rehab, sold for $247,000

Deal #7 - 305 N. Batavia St, Orange, CA: paid $265K used hard money, spent ZERO on rehab, sold as fixer on MLS in 12 days for $360,000

Deal #8 - 985 W. 57th St, San Bernardino, CA: paid $205K used hard money, spent $25K on rehab, sold for $300,000

Deal #9 - 10310 Orchard Ave, Adelanto, CA: $105,000 purchase for 4/2 SFR, spent 12,500 in repairs, sold for $160,000

Deal #10 – 9830 Alexander Ave, South Gate, CA: $275,000 purchase for 5/3, spent $35,000 on rehab, sold for $400,000

Deal #11 - 64380 Thumb Dr, North Palm Springs, CA - $75,000 purchase for 3/2, spent $5,000 on rehab sold for $97,500.

Deal #12 – 700 E. Washington St #52, Colton, CA: $77,000 purchase, spent $7500 on rehab, sold for $132,500

Deal #13 – 11513 Grape Street, Los Angeles, CA: duplex $200,000 purchase, spent $35,000 on rehab, sold for $350,000

Deal #14 – 4167 N. F Street, San Bernardino, CA: SFR $150,000 purchase, spent $17,000 on rehab, sold for $210,000

Deal #15 – 2612 E. 132nd ST, Compton, CA: SFR $200,000 purchase, spent $53,000 on rehab, sold in 7 days for $360,000.

Deal #16 – 11999 Pecos Rd, Apple Valley, CA: SFR $120,000 purchase, spent $30,000 on rehab, sold in 10 days for $215,000

Deal #17 – 3776 Middlebury St, Los Angeles, CA: SFR $440,000 purchase, spent $60,000 on rehab, sold for $635,000

Deal #18 – 11709 Compton Ave, Los Angeles, CA: SFR $206,000 purchase, spent $14,000 on rehab sold for $255,000

Deal #19 – 1159 E. 28th St, San Bernardino, CA: SFR $227,000 purchase, spent $15,000 on rehab rented out for $1700/month in 1 day (current market value is $300,000)

Deal #20 – 1306 Fairview Ave, Colton, CA: SFR plus vacant lot next door, $160,000 purchase, sold lot for $23,000, spent $30,000 on rehab sold house for $245,000.

Deal #21 – 692 E. Johnston Ave, Hemet, CA: SFR $125,000 purchase spent $10,000 on rehab, sold for $175,000

Deal #22 – 45788 Bentley Ave, Hemet, CA: SFR $130,000 purchase spent $6,000 on rehab rented for $1450/month (market value is currently $260,000)

Deal #23 – 671 N. Allen St, Banning, CA: SFR $107,500 purchase, spent $6500 on rehab, rented for $1,100/month (market value is currently $210,000)

Deal #24 – 967 E. Hoffer St, Banning, CA: SFR $90,000 purchase, spent $7,000 on rehab, rented for $1,250/month (market value is currently $195,000)

Deal #25 – 7829 Airport Blvd, Los Angeles, CA: SFR $685,000 purchase, spent $50,000 on rehab, sold for $859,000

Deal #26 - 2415 N. Glenwood Ave, Rialto, CA: SFR $265,000 purchase, spent $30,000 on rehab, sold for $365,000

Deal #27 – 101 E. 69th Way, Long Beach, CA: SFR $360,000 purchase, spent $48,000 on rehab, sold for $499,000 all cash 21 day escrow

Deal #28 – 264 Stephen St, Colton, CA: SFR $128,000 purchase, spent $12,000 on rehab, rented for $1150/month

Deal #29 – 57330 Old Haggard Rd, Yucca Valley, CA: SFR $82,000 purchase, will spend $40,000 on rehab, will be listing it for $249,900

Deal #30 – 3753 Ruthelen St, Los Angeles, CA: SFR $510,000 purchase, spent $75,000 on rehab, sold for $759,000 in 17 hours, buyer closed escrow in 3 1/2 weeks with 20% down

Deal #31 - 7391 Sherman Hoyt Avenue, 29 Palms, CA: SFR $63,500 purchase, will spend $35,000 on rehab, will be listing for $189,000

Deal #32 - 869 W. Cerritos Ave, Rialto, CA: SFR $278,000 purchase, will spend $30,000 on rehab, will list for $399,000

There are more, this is just what I put together for you. You can look at all addresses on MLS for confirmation.

@Joseph M

Was this a deal you bought off the MLS or off market deal? . found it door knocking!

Looks like everything took 6 months, is there anything that could of been done to reduce this time ? Were there a lot of delays dealing with the city ? -  dealing with the city and permits caused some delays, but the big one was that the seller rented back for 45 days after I bought the house.  That explains the longer rehab period.

@ Eric G

I bought it as a 2 bed/1 bath 1400 SF with a detached 2 car garage. I didnt add any SF, I just redesigned the interior and made it a 3 bed/2 bath and made a walk in closet in the master bedroom. I also added a deck off the master bedroom and opened up the kitchen into the living room and dining area. Kept the cool original windows, updated the fireplace and kept the almost 100 year old original hard wood floors. Just made everything else new and kept the charm.  

Took a long time because I got permits for everything including the new central a/c system, plumbing, moved the electrical panel to the outside from the old laundry room, etc. It took the old owners 60 days to move so that explains the extended rehab period.  

Matt I flipped a New Western deal last year in Long Beach, did well on that one. Made about half as much as this deal but it went smoothly. Keep me in mind for any LA area houses you find, I close with hard money in 10 Days as is no inspections no contingencies Cheers!

Thank you so much, if you have any questions or have any advice for me I’d love to connect and talk