Kind of a fun thread, don’t need to post addresss, but can see how others are doing in this market too. I’ll start with one example.
Bought for 700k on 5/16
Holding cost 75k
Commissions + etc 6%
Profit = $225,000
This is in SF. Took 10 months
I am making more buying and holding. No or little remodel costs. Let the tenants pay for costs and a 6% return plus getting 10-25% annual appreciation in South Lake Tahoe. No income taxes or commissions. Repairs handled with home warranty. Biggest costs flooring and paint, handled with cash flow. Refi or 1031 to enjoy appreciation.
Bought for 925k on 12/16
Holding cost 15k
Commissions + etc 4%
Profit = $150,000
This is in SFH, Took 15 months
15 months for $50k work? You need better subs.
Home was not in move in condition, took appx 25k to make it move in, then rented for an year. The home had 40 trees, took appx $4000 to bring it down everything…etc.
My holding cost is less as I rented the home.
Held 12 months, for long term capital gain purpose, then I decided to sell.
Spent another 25k that includes painting, cleaning, removing carpet, staging etc to sell.
Long term gain is smart. Normally the faster the flip the better. But since there is a shortage of flips, holding makes sense. Enjoy appreciation and less tax.
Peninsula 2015 - 9 months
Best case so far in Tahoe
Bought in 7/16 20 months
$660k net 8 units
Remodel costs -$15k had insurance settlement.
Cash flow average 12% net
Off market at $1.2m
Say sells $1.06m net
$400k profit plus $120k cash flow
No one else? Or big profits are hiding ? Lol
Do you work or do flips for a living?
How many flips are required to make a living on flips alone?
10 months of holding costs 10% of the purchase price? Did you get a 100% hard money loan?
Your return is very good, would be better if you can reduce the holding cost
Just an IT employee !
I flipped only one home, not a flipper by profession, not even a realtor. I bought a home with 10k lot, mainly to tear down and build a single story home. Tried construction loan and other sources to build it, failed to get loans as I am not a builder. Finally fed up and sold it.
The home was bought by a realtor+builder and he is building (my dream home) 4400 sqft single story home. He has the money to make it and he will list it appx 2.8 M to 3 M.
Do not ask me the address !
Where was the house? - not the address, but town
I was able to get verbal approval for construction loan for my future primary - that was ~6 months ago.
Wonder how much to build 4000-5000 sf
about 1.2M for 4000. probably a bit cheaper for the builder themselves.
Zip=95125, People behind school district specific won’t prefer the location as the schools are moderate only.
I did not build any home, but hearsay $250/sqft to $350/sqft. Higher the finish materials, higher the cost.
Here is the kind of my dream home. I do not know whether I will make or buy one - at this market condition !
I always wanted to build, but for now i better buy & hold.
I would build craftsman or if too big of a house, probably colonial. They both stand the test of time big time.
First timers, It is better to buy a home as building a home needs extra free time, effort and excess cash. It has lot of challenges with county/city and neighbors.
Yeah, my first time is regular buy But there’s a builder inside me, i think. But priorities - currently, buying first house and finishing side project.