All Forum Posts by: Colin Stewart

Hi,

I am going to see a property that I plan on doing a live in rehab. The goal is to flip it in about a year or turn it into a rental. I have not done an extensive rehab before and need to get an idea of the scope of work that is needed on the property. To get a good idea of what is needed to rehab the property, should I bring a home inspector or a Contractor to get me the best estimate. I will be doing a good portion myself as I plan on living in it and fixing it up. Some items I will leave to the experts.

Secondly to that do I need to put an offer on the house and have it under contract before going through with an inspection or walk through with a Contractor?

Thanks,

Colin

@Dave Rav initially it caught my eye since it was close to the 1% rule. Then after closer examination it did not have as much CF as I had hoped. I've never looked into a mobile home. I guess I always thought a home would be a safer investment and eventually have a better appreciation.

Hi,

My names Colin. I've been analyzing deals in the Charleston area for few months now. It seems like many of the places I come across that are close to the 1% rule still have pretty thin margins based on how I am running the numbers. In this case the home is $110,000 2 bed 1 bath, supposedly currently rented at $1,000, 20% down, Taxes $1,000 based on not being owner occupied in Charleston county. $1,000 homeowners insurance, $1,300 maintenance, 10% vacancy and 10% management fee. It is not in an area with an HOA. This would put my carp rate at about a 5.7%.

Currently looking for my first deal so, I am curious to see if you all think these are reasonable numbers to have for analyzing the property. Any suggestions would be great if there is any thing I am missing or I am not accounting for.

Thank you,

Colin