Real Estate Flip
Real Estate flips are the most challenging of real estate projects. First they require a very detailed analysis of the cost of repairs. Second, they require management to guarantee that the budget stays on track. Third, the repairs will always be more than you expected. Fourth, the word flip assumes that their is someone to catch it once you flip it. Market times must be included in all analysis. I suggest you use 12 months of carrying costs and 5% seller concessions to give you a conservative rate of return and a realistic project cost.AH

Mike on 25 Apr 2008 at 11:47 am #
Ahhhhhhh the flip… Such a good money maker for anyone that davels in real estate… You hit the key problems, it ALWAYS cost more then you anticipate, but the rate of return is worth every dime…usually, unless a greedy real estate agent gets involved and completely screws you… Not that i have had that experience or anything.. But you know it could possibly happen