I'd really appreciate some advice on a potential fix/flip. I've never done a rehab before and I realize that this one might be too risky to start with.
It's a 2,600 sq ft frame house built in 1905 (4br / 1ba). The current owner bought it for $15k in 2000 and has done almost no work to it. There is a FSBO sign in the front yard. He owes 3 years of backtaxes so I'm pretty sure that I could get the house for around $5k - $10k.
The house is on a quiet side street with no comparable sales over the last 5 years. There are a few 4/1 homes nearby that have sold for $130+ in the last few months.
The house is an eye sore to put it plainly. Some of the wood siding is rotting, many of the windows are broken, the shingles are falling off, and the porch is falling in. From my limited experience (and reading the book on rehab costs), I estimate the exterior rehab costs alone to be $35k.
I have not seen the interior of the home but it can't be good. Is this house even worth my time? It's in a decent neighborhood but $150k+ sales are very rare and I'm not sure if the market will support a risky project like this.
Thanks so much for the insight!
