Thinking of buying a house in NO East and flipping it
First of all, let me say that i've never done this before, but have heard you can make some quick easy money doing it. There is a house in NO East right off of Bullard that is for sale for only $22,500. The house had only 2 feet of water and has already been gutted out. Houses are being sold in the area from anywhere from $130k to $150k for a 1500 sq foot house.
Anyone know how much it would cost to repair the house? Obviously the house would need a lot of work, but i have no clue what to expect and i'm trying to get all my ducks in a row before i take on this project.
Thanks in advance to anyone who takes the time to respond.
ok not to burst your bubble here, but let me put some perspective on this. I deal in commercial insurance, so I know a bit since PLENTY of our clients thought about this at some point.
First you must have the $$ to buy. If you pay cash great, if not you take out a loan. If the latter, you must have insurance. That will run you about $1000 annual, but that is for a BASIC BUILDERS RISK that only covers the structure, no liability. ( you cant get liability on an under-construction structure ) Second, the building must NOT REQUIRE any type of structural work ( ie roof rafters, load bearing walls, floor joyces, raising, shoring or underpinning etc ) If so, NO INSURANCE. If you do not use a LICENSED AND INSURED CONTRACTOR...no insurance.
Now, if you are getting a loan, you are also going to need flood insurance. depending on the area and zone ( prolly "A" zone ) it will be about $1400 annual.
Thats the easy part.
The contractors to actually perform the work is where it gets tough. Coupled with the inspection/ inspectors from Orleans parish and you are looking several months to a year until completion.
If you have the means to do so ( income ) then by all means, it certainly helps in the recovery. Just make sure all your ducks are in a row.