Flipping America

FAR 164 Expected Air Date: 07/2/18 Opening Have you ever asked yourself the question, “what is this remodeling job going to cost?” When you buy an investment property, especially if you are going to flip it, the repair / remodel number is one of the big three numbers you HAVE to know in order to be sure you’re going to make money on the project. The other two are the ARV and the cost of the money. Where does the purchase price fit in? Because it seems like that’s where you start. It IS the first number that gets activated in the process, but it’s the last number to be calculated. You back into a purchase or offer price based on the other three numbers. This is true in any kind of property investment. You must have your exit strategy and a strong understanding of what you will get for the property, you must know your rehab or “value add” number. And you should be mindful of you cost of funds. Today we are going to visit with the guy who can help you nail down that rehab number. His name is Pat Dornan and he is