MidwestLandlord
Legendary Contributor
EPIC CONTRIBUTOR
Read Fastlane!
Read Unscripted!
Speedway Pass
User Power
Value/Post Ratio
759%
- Dec 6, 2016
- 1,479
- 11,229
I assume you've ran some estimates on expected return?
Some questions to ask yourself:
How much $$$ will it take to repair/remodel?
How much will the market support for a sales price? Have you ran some comparables to be sure? (assessed value for taxes means very little)
How many comparables didn't sell at the price you need?
What's the absolute lowest you could sell to breakeven?
How long do you expect it to sit on the market? What's the average time on market for comparables?
Have you figured taxes, utilities, and lending expenses into your figures for the time between purchase and sell? (time to remodel + time on market)
Have you figured brokerage expenses into your figures? If you plan on "for sale by owner" did you plan on marketing expenses and the actual process of showing the house when you have a fulltime job?
I've flipped a few houses, it's exciting, but lots to think about too.
Let the numbers tell you the whole story!
Some questions to ask yourself:
How much $$$ will it take to repair/remodel?
How much will the market support for a sales price? Have you ran some comparables to be sure? (assessed value for taxes means very little)
How many comparables didn't sell at the price you need?
What's the absolute lowest you could sell to breakeven?
How long do you expect it to sit on the market? What's the average time on market for comparables?
Have you figured taxes, utilities, and lending expenses into your figures for the time between purchase and sell? (time to remodel + time on market)
Have you figured brokerage expenses into your figures? If you plan on "for sale by owner" did you plan on marketing expenses and the actual process of showing the house when you have a fulltime job?
I've flipped a few houses, it's exciting, but lots to think about too.
Let the numbers tell you the whole story!