Project Insights

@brrr_beth

Equity 215·Posted 3d ago

As a seasoned landlord, I recently worked with a contractor on a fix-and-flip project in Richmond. The breakdown was as follows: purchase price $120,000, rehab scope $60,000, holding cost $15,000, ARV $220,000, and projected net $25,000. Given the local market trends, this deal seemed promising. However, I always advise thorough property analysis, considering factors like rental demand and potential for appreciation. In this case, the numbers worked in our favor, but it's essential to approach each project with catuion and carefully evaluate the risks and potential returns.

1 comment

@flipped_out·9h ago

I've got to ask, what were the vacancy assumptions on this project, and how did you handle CAM reconciliation with the tenants? Additionally, what kind of tenant creit did you factor into your calculations? With a rehab scope of $60,000, I'm curious to know if you had to account for any major surprises during the renovation process. The projected net of $25,000 seems relatively modest considering the ARV of $220,000 - were tere any specific factors that led you to be conservative with your projections? I'd also like to know more about the local market trends that made this deal seem proomising. What kind of rental demand are you seeing in Richmond, and how do you think this property will appreciate in value over time?

Vote, comment, and save deal-anchored discussions.