Over the summer I started looking for properties to purchase. foreclosures were up and I smelled some opportunity. I started looking in July and made a few offers in August--got one accepted and closed on my first flipper on Sept. 30. I got a pretty good deal only because I am paying all cash and offering to close in 10 days.
This particluar house is a 5 bedroom 3 bath home in a low income but, clean part of San Diego. My plan is to flip it so I want to do a complete surface renovation as cheap as I am able. I paid 160K for the house and so far I have about 11K into it. I think I can get it done for another 5-7K. The comps in the area range from 240 to 305K. I plan to list it between 260 and 280 and see what happens. I would be happy with 275K-----with net profit of 80K after all expenses (i.e. closing costs, commissions. etc)
Just after this house (La Paz) I purchased an equestrian center. I am very excited about this property. It is a 4BR/2Bath on 5 acres. WOW! It also has a detached 1100 square foot building that is plumbed for a granny flat. I got this place for 260 and so far I am not sure exactly what I am going to do with it. Its in pretty good shape right now and a house just down the road is very similar to mine and is listed for 585K. This one should be a really good deal.
Where I am torn is the sell or rent proposition. If I sell I can make some good quick cash---200 to 250K is pretty good for a few months work but, if I keep the properties and rent them I would be adding wealth to my net worth. The only problem is that I am having a hard time deciding which is better--take the 200K and roll it into another deal or rent it out and be cash flow positive of 1500 a month or so.
Anyhow---the most important line item for me right now is to finish the cabin so that I dont lose any powder days in Big Bear.
will try to keep this updated with pics---that would be great.
