Hey everyone, for my first flip, is a fire damaged house worth it (purchase price 40k-50k 3br).

The sellers says it's just college boys and that's to be expected.He's currently getting good rents...as unbelievable as it may seem and if cleaned/fixed up it could make more as well as increase the value of the property.We own several coworking/coliving properties in the US and Mexico, so we are used to hospitality and properties out of state.However, my questions are;Is this a norm for college students, or student housing? 

Tax-wise, profits are taxed at your ordinary income rate, and frequent flips may subject you to self-employment tax if classified as a dealer by the IRS.

Ultimately you will have to sell your house at a discount. 

I think house-hacking is a great idea and I would be more than happy to help you with the financing.

Quote from @John Friendas: There's a house I'm considering buying with a business partner as an investment rental.

Hi @Christopher Morris House Hacking is NJ is great way to go. 

If it does go to probate, hopefully your brothers and you can amicably go the informal route vs formal (I've worked with families in both when buying properties out of probate and informal is FAR easier).Since there's no debt on the house, maybe you could sell with financing or maybe you could even buy out your brothers with financing -- that way you maintain ownership and just pay them a monthly amount.

@Tim Holt, Yes INDEED house hacking is the best option for most 1st time buyers.  

A block can transition from appreciating to depreciating within ten houses so you have to learn where it is ebbing and flowing.