All Forum Posts by: Laura B.

Anthony Lee Thanks for the suggested questions - these were her answers: Is the type of policy basic, broad or special form? SPECIAL FORM What is the vacancy provision? THERE IS NONE AS THE PROPERTY IS UNDER CONSTRUCTION Is there a co-insurance clause? NO Thoughts??

I'm closing on my first property (YAY!) in a couple of weeks, and working on setting up insurance. The insurance provider that I have my personal home and auto insurance under (State Farm) quoted me for a Rental Dwelling Policy. When I inquired about a Builder's Risk Policy, she responded that, "This RDP quote is for Builder’s Risk. It would have to be written this way as it is not intended to be owner occupied or seasonal for your use. This is the only way we can write it as State Farm doesn’t insure homes that are being flipped otherwise."

So...the policy covers the below.

Does this look OK? Normal? I have another quote coming in - but curious how this compares to what most people are seeing. Thanks!

@Tom Hurford Would you say an appraisal would be unnecessary if it's not required by a lender? I guess I just assumed it was still something that investors do - but I hadn't thought about it that way. I'm using a HELOC - so no origination fees.

@Andrew Kerr I'm hoping with enough education and research I'll feel confident enough to go on my own - but that's definitely something I will keep in mind - thanks!

I'm having a hard time feeling confident on ALL of the costs that go into flipping (I'm currently looking for my first property). I'm going in with a cash offer, and will be using a realtor for the purchase - but am hoping to have my real estate license by the time I sell the property. Do these look accurate? What am I missing? Any other tips on being prepared with fixed costs while I'm evaluating properties? Thank you!

PURCHASE:

Inspection Fee ($400)

Appraisal ($400)

Title Insurance ($1000)

Recording Fees?

Escrow Fees?

HOLDING:

Mortgage

Property Tax

Utilities

Insurance

SALE:

Staging

Commission (6% if using another realtor - 3% if selling myself)

Home Warranty ($500)

State Deed Tax + Recording Fees ($1000)

@Bruce Runn - I sent a message to connect with you!

@Jordan Moorhead - I can't make it tonight - but I would love to come to the next meetup. Which group is it through and how do I connect? Thank you!!

Hello! I have been interested in flipping houses for over ten years, and am finally trying to take steps towards making it happen.  I love real estate, design and the actual rehab work - so it feels like a natural fit.

I have been looking for a singly family flip in my area (Eagan, MN) for the past few months...reading as much as I can...and have started classes to get my real estate license. I'm definitely stuck in the paralysis analysis phase. I'm looking forward to (finally) using the forums for posting the questions that I can't find answers to. Thanks in advance for all your help!