It does not detail how the sales persson is paid.

@Dan Simpson what a detailed post :)Before you move ahead on this deal, you need to calculate if the renovations you want to do still leave room for you to make money when you sell.

@John Leavelle Thanks for taking the time to write such a detailed reply. 

Account Closed as others have stated there is a ton of detail missing in your original post, but generally speaking the price you paid at $270/sqft is very cheap here in the Bay Area. 

As @Derek Dombeck said, there are different structures to know and be educated on, but even the details to those are flexible to what makes sense for all parties.

https://www.realtor.com/realestateandhomes-detail/1211-Pierce-St_Lynchburg_VA_24501_M58393-70084

Hi I’m looking to connect with a good agent in KC, I’m crushing it in California and getting ready to expand into Kc, I’m selling some of my property’s here in Cali and plan on rolling the money into some multi fam out there. we will be doing sfr flips out there also, if anyone can point me to a good reputable agent that would be great and much appreciated, I’m also looking to network with any local lenders and prop managers....anyone out there feel free to send me a Direct message and let’s connect and make each other some money😁💰

Jacob, Thanks for your detailed explanation, it does appear I was basically using the COCR.

BRRRR Strategy Total Investment $252,500.00 ARV $300,000.00 Cash-out Refi Loan (75% ARV) $225,000.00 Cashout Refi Down Payment $27,500.00 Cash on Cash Return as Rental 9.47% Forced Appreciation Gain $47,500.00 5 Year Appreciation (4%) $64,995.87  If you have questions on the financials or would like more detail, please leave a comment below.

As stated previously, there are a few reputable turnkey companies here in Memphis as well as a handful of successful wholesalers and investor friendly realtors.