Complete House Flip Video: Before, After, and $4,000 Profit After $100,000 in Costs

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Most of my flips work out well, but not all of them. This one was a disaster and we made almost no money after putting a ton of work into it. You can see my other flip projects here: https://investfourmore.com/flips/

I bought this house for $110,000 without seeing the interior. It was tenant occupied and the tenants would not allow showings. I thought the house cannot be that bad if there are people living there, but I was wrong! The house was a complete gut job and had no foundation in some areas. We spent a lot of money fixing it up and ended making almost nothing on the deal.

I spent 97k total including the repairs, carrying costs, selling costs, and financing costs. You can see the exact breakdown in the video. We sold the house for $207,900 and luckily I made a commission when I bought it or I would have made less than $1,000 on the deal! I usually make at least $30,000 on each flip.

We also had contract problems as two buyers backed out of the deal. One for financing problems and one for inspection issues. I also ended up firing the contractor I used on this deal because he screwed up working on my new office. https://investfourmore.com/2018/04/09/my-real-estate-brokerage-blue-steel-real-estate-is-open/. He also screwed up on this house and missed that the back half of the house did not have a foundation. We will not be using him again.

I also go over how we chose one offer over others when we had multiple offers. Even though that offer did not work out. I also talk about a lender who I was scared to use because they tend to mess everything up, and they messed up this deal too. A lot of great info on this video!

I also mention my book sale in the video. You can see all my books on Amazon here: https://amzn.to/2u4XfmK

20 COMMENTS

  1. Nice job. Love the interior wall colour, but ceilings should be white and in flat paint. Makes them look higher 🙂

  2. Some nice possibilities, can you put a high concrete wall up to block some of the train noise? Or would that have to stretch past the property?

  3. Have you considered going to a local trade school and hiring people right after graduation? Then they don't have bad habits and only work for you and you can be the GC.

  4. Will you do any more sight unseen deals?

    Im sorry this one went bad for you. You deserve more then 4k for the work you did! Hope the next is better!

  5. Love your honesty, I'm not a real estate investor or flipper, but looking to buy my first house with my wife as a private residence. So helpful, thanks Mark!

  6. How do you keep track of all the bad contractors and make sure your employees don't hire them? Post a picture of their face and their name on a wall under a banner that reads 'DO NOT HIRE THESE MEN' ?

  7. Congratulations on selling your happy house finally. I'm in the process of buying a foreclosure property and I am learning all this new. Thank you for your advice.

  8. I'm curious why houses are almost always sold with stove, and often dishwasher and microwave, but almost never a refrigerator.

  9. The yellow is nice. Kinda reminds me of my house when I bought it as far as the foundation is concerned. Our house is a pier and beam house and there was absolutely zero support in the living room. That was 25 years ago. We’ve since added 1000sq ft onto our house.

  10. nice reno, it would be cool to see some of the contractor work during the in progress part of flip. also when is the primary residence tour coming

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