All Forum Posts by: Jered Collins

Found a 1927 two-story home.  Has tons of character.  

ARV = $220,000- $180,000

Listed at = $99,900

Projected offer price = $85,000

Estimated Rehab $60,000 - $50,000

Holding Costs = $11,000

Realtor, Closing = $19,900

Estimated After-Tax Profit = $22,000

PROs:

Brand New HVAC system with ducting installed

Brand New thermo windows installed throughout

Beautiful hard wood floors on the first floor (need refinishing)

Tall ceilings (has a drop down ceiling right now though)

CONS:

Only 1 Bathroom on 2nd floor, going to add a half-bath on first floor

Has drop down ceiling on first floor and plaster walls 

Kitchen needs to be completely reconfigured and floor leveled

I want to knock out a wall between the kitchen and dining room and make a kitchen with an island and either quartz or granite countertops.  

Kitchen remodel = $17,000

Bathroom Addition = $10,000

Upstairs Simple Remodel (vanity, maybe new tiling) = $2,000

Walls and ceiling refinished = $8,000 (*** This is the most unsure costs I have, advice greatly would be appreciated ***)

Thoughts on this flip?

How much did you spend to fix it?

First I apologize if this is the wrong section to post this in.  I'm new on this site and I'm still learning on the sections and whatnot. 

https://www.trulia.com/property/3241635889-3797-St...

There is a MLS listing for a 3BR 2BA home in Williamsburg, VA

Listed price is $104,000 (which has been reduced on the last couple months ago). It also says the owner is motivated to sell.

I have several rental properties that I currently rent out for cashflow but I'd like to have some more net working capital and have a great opportunity this summer to flip a house (have 3 months off from my job).  

I used the 70% ARV rule to help guide me through the process.

My desired profit margin is 30-40%.  

Comps in the area with similar sq footage (not completely rehabbed) are going around 170-215K.

I set my ARV target at $180K to be conservative.

The property doesn't have HVAC and the listing says it needs TLC.  The roof looks decent as I did a drive by earlier today.  I've estimated around 45K for a rehab.

Fixed Costs (realtor, closing, staging) = $19,200

Desired Profit = $40,000

Rehab Costs = $45,000

MPP (max purchase price) = $75,800.

As far as financing, I feel like this is going to be my biggest hurdle. I've had a busy couple of years with a wedding, honeymoon, child birth, and several moves. I don't have a lot of liquid assets right now to use for a down payment. I don't have a business line of credit yet (I'm still doing research on who is the best company to work with, recommendations would be appreciated) I have a credit card with 0% APR interest (military perk I received). I also qualify for 0% DP on loans through the VA (don't want to go this route because I'm required to occupy the home).

I appreciate any advice you guys have.  

Hey everyone I'm currently located at Williamsburg, VA. I own a single-family home and a town home in the state of Tennessee (Clarksville and Johnson City). I'm the military and I'm looking for new opportunities to expand my network into multi-family housing and duplex, triplex, and quadplexes. I have a little experience in the finance and business world. Do you guys have any good book recommendations for creating cash flow through real estate?