All Forum Posts by: Tomer Shani

Hello BP people! I own a Townhouse (4BR+2BA) in Philly and I'm having some trouble renting it out as one unit for 1,600. I get a lot of requests for individual rooms. So my question is, should I do it? And then charge 450 per room? What are the pros and cons of doing it this way? Or should I stay strong and wait for the right candidate? Thanks a bunch to all you responders.

Hi Brandon I want to try and sell it first. That is my plan A. Plan B would be to rent and do a cashout refi.

Thanks Andrew Kerr What do you think would make this deal better? I would not go over 75k total cash. Also, will I be able to do a rifi? I don't have a job right now.

Hello everyone. 

I'm in the decision stage about my first flip and I'd like to get an outside opinion on it. 

It's a 3BR+1BA

Here are the numbers: 

Purchase: 30k

Rehab: 35k 

C.C: 3K

Potential Rent: 1,000 

Taxes: 456

Insurance: 800

ARV: 100K

It's a cash deal. Perhaps I'll do a refi incase I would like to do a BRRRR instead of a straight forward flip

What are your thoughts? are the margins look good? I've rounded the numbers up to be conservative. and rounded the ARV down.

Would love to get you take 

Chris K. I'm redoing my numbers. Looks like like I'll be able to bring the contractor to about 135k. Plus purchase it for about 80k. I'm pretty confident it will sell for 300k at the least. It's my first flip and I want to make it work. How are these numbers sounds to you? I decided to go with the contractor since I'm interested in developing and want to build some good relationships. My only concern now is to figure out the regulations for the historical places..

Hello BP people 

I've been buying and holding in Philly for the past few years. 

I'm looking at my first flip deal and came across a fundamental question. 

The deal is: A historic home of about 3,500 sqf. needs everything pretty much. Sitting on a great lots.

Purchase price is about 100k 

comps are around 300k 

I've found a GC that quoted me $50 a square foot. comes to to 175k for everything. which is very nice, but where's my profit?!

My question is, should I be my own GC / Project Manager and just hire subs?

From my estimates, I can probably bring the project for about 105-120k. 

What are you flipping practices? do you just invest it all on one guy, or do you load yourself with work (gaining massive XP) and saving some cash. 

What am I risking by not going with a general contractor? 

One more detail, if I do it by myself then most of the deal (if not all) will probably be cash. 

Thank you for your help

@Yuriy Skripnichenko 

So basically you're telling me that if you didn't do that from the start there's not much of a point to that later on during your owning years. 

 How does the "Market" value being determined? solely based on the previous purchase or appraisal?  

@Chris K. Thank you so much. I always try to understand the core of the issue. looks to me like these properties will remain on my name until I decide to sell them. 

Also, my friend owns on of the best restaurants in Wilkes-Barre! Le Manhattan Bistro. Strongly recommend you'll check it out! 

Thanks for the response guys. Yuriy, can you explain a little bit what is the CLR? I went to the link and read everything but I still don't understand what it is or how to apply it. I'm not concerned about liability. My accountant set up loans btw myself and the LLC that will protect me incase of a lawsuit. What I'm concerned about is privacy. If someone is looking me up online and see all the properties I own.

Hello BP!

I bought a few houses in Philly with a traditional mortgage. due to that, I had to take title with my name. 

Now I'm starting to form an LLC for each of my units and my question is:

Am I subject to transfer tax (%4.05) when I transfer the deed from my name to the LLC's name? I know there's different answers in different states. would love to hear what you know on the subject.

Many thanks,