I never dreamed of the interest this “Flip” series would generate. Just knowing so many people are watching keeps me on my toes.

I too am looking forward to those after pics !

And your response to Sam was funny too.

Can wait to see the after pics! And from a woman’s standpoint… upgraded kitchen {definitely} and bathrooms are a plus, in regards to buying.
.-= Money Funk´s last blog ..Early Retirement Extreme 21-Day Makeover =-.

In answer to your question about adding a bathroom…we really wanted to, but there is just no room to do so. The existing bath and utility room are together in a 10′ x 10′ room, so we are separating the two rooms, replacing the one piece fiberglass tub with a new tub and ceramic tile enclosure, new vanity and toilet. We wanted to figure out how to squeeze a 1/2 bath in the utility room, but with a washer/dryer, water heater and utility sink, there was just no room. We didn’t want to sacrifice a bedroom (there are three small bedrooms now), so we are stuck with one bath. The entire house is only 1100 SF, but we knocked out most of a wall between the living room and kitchen/dining room to give a “great room” feel. We are replacing all kitchen cabinets, adding an island, new lighting, walls and flooring, so we think the house will “pop”. We are also painting and planting in front for added curb appeal. The house is in a choice neighborhood, and our improvements will not bring our asking price above the market value of surrounding houses.

My son, wife and I are doing most of the work, but we hired a plumber and will utilize an electrician to help get our wiring organized. We will hang the sheet rock, but will probably hire someone to finish it.

As promised, I plan to give updates as our work progresses.

I’m avidly following your project and, while we don’t recommend buy/fix/sell as a wealth building strategy in the current economy, it sounds like you’re well aware of both the tight margins and risks inherent in the project. So…might I suggest a couple of resources?

This is a great book all about the art of the Flip (http://bit.ly/Flipit) with sample budgets, time lines and business models from some of the most successful investors.

Here’s the National Association of Realtor’s annual study of (http://bit.ly/dg9qpn) cost vs. value on remodel projects across the country and if you really want to geek out this link (http://bit.ly/a6b7Uv) takes you to the underlying data by region.

I was thinking the one big structural change that would add HUGE value would be adding a 2nd bath. What feedback did you get that made you decide to stay with just the 1 bath?

Looking forward to reading more on your great experiences.

Betty

Friendly Regards,

Shawn
.-= Roshawn @ Watson Inc´s last blog ..Is It Wrong To Strive For Job Security? =-.

Our aversion to the use of the word f**p, as applied to real estate transactions, stems from the gigantic financial smoldering hole and associated human pain and suffering we see via foreclosures, tent cities, the homeless living under bridges or in plastic covered cardboard boxes, escalating unemployment, resultant broken marriages, and the on-going banking debacle.

The term f**p epitomizes the casino mindset associated with this smoldering hole. F**pping is, essentially, the combination of warp-speed velocity and massive leverage applied to financial transactions. It is the movement of paper (deeds, stocks, or other assets) primarily contingent on the ‘greater fool’ theory with no consideration given to either existing fundamental value or value added. It is a very risky game of financial musical chairs. It is very risky in real estate because of the inherent lack of liquidity prevalent in a market downturn or bubble implosion. The nimble can unload their stocks rather quickly (at some price), but real estate doesn’t have that escape hatch.

The term f**p is a mischaracterization of your project. You’ve assessed the market conditions, looked for existing value, and have a plan for adding value via sweat and capital. The only question we would have about the project is the time table for its completion. Do you have enough profit margin built in to sustain a market double dip scenario?

Best wishes on the project!
.-= Steven and Debra´s last blog ..Some Say, “God is in Control”: We Ask, “In Control of What?" =-.

Squirreler,
First, I want to say that I love the name of your blog. Original and catchy…it creates curiosity.
Second, one primary reason I am writing this series is so people can follow vicariously. We have a bunch of “before” pictures that I will be showing along with our “after” shots.
Yes, the finances are personal, so I will probably be discreet about specifics, but we will definitely share how it went. You are not asking too much! Stay tuned for the ride.

Before/After pictures would be interesting to see. As for specific financials, I realize that’s private – I don’t share my own specifics on my blog – but perhaps we can see percentage gains when all said and done? May be too much to ask for, if so no offense meant:)

Anyway, thanks for sharing this journey.
.-= Squirrelers´s last blog ..Squirreling Gone Wild #8 – Doubling Down =-.