Work has been progressing on our flip house, albeit a bit slowly. We removed all kitchen cabinets and bathroom fixtures, along with all of the old paneling and ceiling tile, leaving exposed studs and rafters throughout. The “gutting” process was pretty easy; the building back a bit more of a challenge. Of course (in case you were wondering), we did have a master plan before we began. We have modified that master plan a few times, but (being as the electric work – which I did – is complete), it is pretty much set.
"Before" pic of kitchen
So…things started hopping this week! My son and I have been installing sheetrock in as we have time, but our hired installers got started, working with and around our plumber who had been AWOL for a few weeks. Remember, we are in Southern Illinois, which bears many semblances to Mayberry RFD. Our hired workers are very capable, but, being “good old boys”, they aren’t always easy to round up. The trade off is that they don’t charge much.
How has it gone so far?
I thought you would never ask. Actually pretty well, with a few snags.
Same shot after "gutting"
The good
The house is solid and square.
It already had a good layout, so our focus is limited to the kitchen and bathroom. Other than new walls, ceiling and floors, the three bedrooms and the living room will stay essentially the same.
The bad
We are over budget.
Even though we allowed a buffer amount for the remodeling, there are just too many “little things” that we overlooked. Fortunately, we also allowed quite a bit of buffer in what we can ask, so we are hoping that the extra expenses will bring extra income.
Same shot on Friday morning. The sink will go in the corner and the gap between the sheetrock is for a ceramic tile backsplash.
I was concerned at the beginning that a project involving a husband, wife and son could stir some friction. But this is really normal and should not be thought of as a bad thing. Disagreements (always about whether an expenditure will bring a return) bring on discussions which force us all to think through our decisions a second or third time. Still, things can get a bit testy at times.
The ugly
Let’s see. I needed to say “Ugly” just to balance out the headings. I don’t think anything is really ugly unless it would be the droopy wiring in the crawl space. It WILL be properly attached to the floor joists before our home goes to market.
On to the Roundup
Recommended reading:
Meet Andrew Hallam: The Millionaire Teacher at Invest it Wisely
True Trick to Save Money on Appliances at Budgeting in the Fun Stuff
What is a Sin Tax? at My Journey to Millions
4 Things That Are Always Increasing in Price at Money Crashers
Snowballs in Arizona Paid Off Three Credit Cards at Mrs. Accountability
Credit Card Consolidation and 0% Balance Transfers / Does it Really Help? at Money Help for Christians
Buy New Car vs Keep Old Car at Well Heeled Blog
Dave Ramsey’s Seven Baby Steps – Step 7: Build Wealth and Give at Smart on Money
Your Guide to Google Search – How to Make the Most of the #1 Search Engine at Doughroller
Breaking Free of the Cage: Escaping the Rat Race at Invest it Wisely
Ways to Fix Your Credit Score Fast at Good Financial Cents
Carnivals I have participated in this week:
Best of Money Carnival hosted by Money Energy
Christian Carnival hosted by Thinking in Christ
Christian Finance Blog Carnival hosted by Christian PF
Baby Boomers Blog Carnival hosted by Baby Boomers US
Carnival of Financial Planning hosted by The Militay Wallet
{ 9 comments… read them below or add one }
Rounding up my hired workers would tick me off, but I guess its a tradeoff for living in Mayberry, lol.
Thanks so much for the link love! I really my readers and your comments make me smile. Hope your vacuum continues its nice long life, hahaha!
Budgeting in the Fun Stuff´s last blog ..Weekly Favorites and Gratitude-
Thanks for the link.
I love hearing about this adventure. I can’t wait to see final numbers, if you are nice/open enough to share
Evan´s last blog ..Defense of Marriage Act Found Unconstitutional in One Federal District Court
Very interesting to read about this process. I hope it ends up being a positive experience for you, i know I wouldn’t have the guts to attempt one of these flips, especially after having watched a few of those shows on cable showing people attempting to flip.. They always seem to have issues. In any event, if anyone can do it – you can. good luck!
Peter´s last blog ..Roth IRA Withdrawal Rules
@Budgeting,
Actually, my workers have come through for me when I really need them, but Mayberry living means staying flexible. About the vacuum…we thought it would be a backup, but it is actually way better than our belt – eating other one. It works great and we have had it for over a year.
@Evan,
I am glad you are enjoying the adventure. I promise to share as much as my partners will agree to once we wrap it up.
@Peter,
We minimized our risk by paying cash for a not very expensive house with funds that will not affect our lives even if we lose them all. It is a calculated gamble, but not a huge one. About the TV flip shows…I haven’t seen very many of them, but the ones I have seen seem to make the entire flip way too easy, like anyone could do it. That was before the housing bubble popped though.
We are thinking of this as a diversification in our investment portfolio…less in mutual funds and more in “hands on” real estate.
Thanks for wishing us well.
WOW! Trials and tribulations aside, I am really impressed by what you are doing here – partly the house refurb, but also the way that you are all pulling together. Onwards and upwards!
Miss Thrifty´s last blog ..“Do you have the perfect life”
Good job! I say progress is progress, however you look at it. Unless you were adamant about completing it by a certain time and with a specific budget, which it doesn’t seem like you were, you should be able to pat yourself on the back.
Darren´s last blog ..How To Pick Stocks Like Benjamin Graham – The Defensive Investor
@Mrs Thrifty,
Yes, we are all pulling, but not always together. Seriously, we get along pretty well. Thanks for the encouragement.
@Darren,
We had thought that flipping the house by the end of August would have been great, but we probably won’t have it ready to market by then. But really, you are right…we are not adamant about completing it by a set date. So…progress is indeed progress, even if it is slow at times.
Thanks for the mentions! Can’t wait to see what the “after” shots are like!
Invest It Wisely´s last blog ..Breaking Free of the Cage- Escaping the Rat Race
Hi Joe! Hey thanks for the link to my post about paying off three credit cards!