All Forum Posts by: Daniel Black

Hello all,

Over the past 6 months I was able to flip a small condo in Western Massachusetts. I have always been interested in flipping houses in fact that was my dream job and accomplishment! This deal nearly landed on my lap since my parents lived next door to an older lady that passed. The family of the older lady lived in Florida and didn't want anything to do with the Condo except to sell it. We knew all of this because of a simple conversation with the realtor that was going to be listing it. The condo was an absolute disaster inside, nothing was updated or changed since the date it was built in 1960's. Having said that, it was a condo, fairly straightforward, not much to worry about structurally or on the exterior. I did a decent amount of the work on my own, only on the weekends as I live in the Boston area and work full time & go to school! I bought the condo for $96,000 and sold it for $182,000. I put about $30,000 of renovations into it using my income and credit cards. So I know I did very well but now I am dying to do it again. The problem is that the deal was very unique and lucky so how do I repeat this? Can I repeat this? I now have more cash than I did previously so I would like to put it to use again.

Another roadblock is I live in one of the most expensive towns in Mass. It is nearly impossible to find something local to flip because I can't afford it. I would like try to find something closer to where I am geographically because weekends traveling across the state was daunting. 

Side note - I work in project management for a large commercial general contractor, so I am very savvy with managing construction activities and projects so if anything I would love use that to my advantage.

Does anyone have any recommendations? I want to invest the money in another flip or rental or both. Also, if anyone is local to the Greater Boston area and would like to chat I would love that. Please feel free to reach out.

Thank you!

-DJ

@Linda Weygant thank you so much! I think that’s the confirmation I needed. I appreciate your feedback and experience. 

Thank you for everyone’s reply! My next question would be is the capital gains on just the profit from the flip? Or will I get taxed on my total income including my regular salary? 

Michael to answer your question, I am trying to learn as much as possible, if I make money it’s a bonus. I obviously would love to make money but that’s not the ONLY factor. 

@Michael K Gallagher @Natalie Kolodij @Steve Morris

Hi everyone,

I am very new to real estate, in fact, I haven't even begun yet. I have been a BiggerPockets fan for years! I listen to the podcast and attend the weekly webinars in order to learn as much as possible.

SO! I potentially am going to have my first deal lined up, it is a condo that is ironically next door to my parents.

I am an Assistant Superintendent for a fairly large General Contractor in the Boston area as my day job and am graduating with my Bachelors in Project Management. The project management portion of this potential deal I am very confident that I have that under control.

My biggest concern is my lack of expertise in the real estate transaction itself and also more importantly Capital Gains tax if I were to flip it. I would like to get some input on any suggestions on how to avoid or minimize this tax. I get the general concept, I just would want to know if it would affect me.

The purchasing price of the condo is $90,000....Rehab is estimated for $20k-$25K and the ARV should be around $155K-$175K. I would plan on rehabbing it and selling it within a year. What are the implications I would run into with the capital gains tax and I guess my biggest question is "What am I missing".

Am I over-analyzing capital gains??

I look forward to hearing from all of you!

Thanks,

DJ

Hi everyone,

I am very new to real estate, in fact, I haven't even begun yet. I have been a BiggerPockets fan for years! I listen to the podcast and attend the weekly webinars in order to learn as much as possible.

SO! I potentially am going to have my first deal lined up, it is a condo that is ironically next door to my parents. 

I am an Assistant Superintendent for a fairly large General Contractor in the Boston area as my day job and am graduating with my Bachelors in Project Management. The project management portion of this potential deal I am very confident that I have that under control. 

My biggest concern is my lack of expertise in the real estate transaction itself and also more importantly Capital Gains tax if I were to flip it. I would like to get some input on any suggestions on how to avoid or minimize this tax. I get the general concept, I just would want to know if it would affect me. 

The purchasing price of the condo is $90,000....Rehab is estimated for $20k-$25K and the ARV should be around $155K-$175K. I would plan on rehabbing it and selling it within a year. What are the implications I would run into with the capital gains tax and I guess my biggest question is "What am I missing".

Am I over-analyzing capital gains??

I look forward to hearing from all of you!

Thanks,

DJ