Tonights Flip This House

[waiting hawk]

This was on the show Flip This House tonight in North Hollywood..
Paid $520 + $55k flipage

Price Reduced: 08/01/06 — $739,000 to $699,000

Days on Market: 60

http://www.ziprealty.com/buy_a_home/logged_in/search/home_detail.jsp?listing_num=R2039390&page=1&property_type=SFR&mls=mls_so_cal&cKey=cd7jjmjk&source=CRISNET

[SD Realtor]

waiting hawk you are awesome!!! I have always hoped someone would actually start chasing down some of the homes that flip this house features to see how they actually did. This is the craftsman in No Hollywood correct?

How bout that Realtor… is she not the prototypical agent? I love the comp analysis that was done. Here are the comps in your area. She didn’t talk about expireds, cancelled, days on market, months of inventory or anything like that. Of course in these shows they NEVER do.

The guy that did the flip seems like a pretty seasoned veteran though. He did do a great job and he stuck to his schedule which you rarely see. The work is great work but I will be quite eager to see how it pans out for him.

I know there was another episode that I didn’t catch last night cuz we were on the way out with the kids. It was a home in Santa Barbara. Looked like a plane crash waiting to happen, 2 couples, each had kids, the home was like a million bucks to buy and they were gonna flip it. They seemed much less experienced then the No Hollywood guy. I didn’t know if you caught it or not.

IMO this show and others like it should have the same labelling as a pack of smokes. TLC should really think about how many people they are affecting by these types of shows.

[ocrenter]

there’s 89 homes that are less than $700,000 and more than 1500 sqft in North Hollywood.

out of that 89 there are 34 (38%) that are asking below $600,000.

maybe the flip is extra special. but I do see it being on a main street and right adjacent to a school. perhaps that add to the character of the building.

[Carlsbadliving]

These shows are becoming more and more interesting to watch. In the past, the “amateur” invester would buy the house, spend double the original budget and double the time budgeted then sell within a few days and make still make bank. Now the shows feature the same idiots that don’t have a clue and the house sits, and sits on the market and when it finally sells they’re lucky to barely break even.

The Santa Barbara show yesterday: they bought the house for 1.16m put 90k into it and sold for 1.39m. But after all commissions, fees, etc, the 2 couples split something like $38k. Not much reward there for all that risk. And besides, I can’t believe they found someone to pay 1.39m for that place. They really did find the next fool. They got very lucky!!

[JES]

I couldn’t believe they got that price either!

[no_such_reality]

The Santa Barbara home was Property Ladder on TLC, that one is still interesting becuase it uses amatuers.

I think there are four shows like this between A&E and TLC.

Flip This House is on A&E and used to involve the guy in So. Carolina that was a professional flipping company. Now it’s the Montelongo “pro” company flipping some 200 units a year in San Antonio primarily and the Leccima group in Atlanta.

Property Ladder is on TLC and involves Amatuers.

Flip That House is also on TLC and involves ‘pros’ or at least seasoned flippers with occasional first timers mixed in.

I really wish they’d correct the money. I talk about profit on many but it’s often before realtor fees. Only recently, with the slowing market did they start to do the dings for carrying costs.

[Carlsbadliving]

You’re right it was Property Ladder. I can’t keep all those shows straight.

You’re right about the money. I think before they were making so much money it didn’t really matter how the math was done. Now it gets so tight, they include all the costs and it really shows how risky it is.

It will be interesting to see these shows dry up once it’s nearly impossible to flip a house. Maybe soon, we’ll start seeing shows like “Foreclose This House” or “Property Auction”.

[PerryChase]

I don't have cable to so I didn't even know those shows existed.

But talk about irresponsibility!!  The bulls continuously say that us realists who discuss a 30-50% decline in real estate are irresponsible.  

Those shows will cause many "investors" to loose their shirts.   

[no_such_reality]

I don’t know. They’re educational. 🙂

I’m not sure which one I saw this weekend, but as we were leaving, the guy, (couple had bought to flip), was on the phone with his boss quitting his job becuase they had missed their deadline for him to get it done. Twice. On top of it, they were broke having blown the budget. Bought in a rough neighborhood, and were living in fear of the mailbox becuase of the bills that kept arriving.

All this before they put it up for sale and it was doubtful they’d even break even…

[Doofrat]

Great job waiting!!!! My wife and I were watching this exact episode and I said they should have to go back and show what they really sold it for in later episodes, but I guess at 60+ days on the market, it wouldn’t make this season!

PerryChase, you’re missing out on these shows, they’re great! Somebody buys a fixer upper that you think they bought for about $400,000, but then you find out they paid more like $600,000. They fix up the kitchen with, guess what, stainless and granite! They point around alot and show some contractors sawing. The house either looks pretty cool at the end, or has some whacked out design. Either way a realtor comes in and says how great it looks. Then the realtor says I think it’ll sell right away for $4.8 million dollars.
Then at the end they state the figures like the place is already sold:

Cost of house: $600,000
Fixup costs: $55,000
Listing Price: $4,800,000
Time to fixup: 3 weeks

Potential Profit: $4,145,000

I’m exagerrating a bit here, but not much. If you’re pessimistic, you’ll think that these people are crazy, if your an optimist, you’ll be writing your resignation letter to your boss and calling a broker to get an Option ARM so you can make your millions flipping.

[powayseller]

I don’t have cable, so I’ve never seen any of these shows. I might have a chance tonight though. What time/station does one air tonight?

[IONEGARM]

I went past this house when it was listed in June, it was put up on craigslist and I make it a point to check out all craftsman I can.

It is in a horrible location, Coldwater is a super busy street with lots of high density low rent housing nearby, lots of bar on windows and unkept houses. The guy did a terrific job, even if I dont care for the outside much, so many people flip so much worse. He took his time and did a good job. But I dont think it will make up for the horrible location.

[waiting hawk]

I thought he did a poor job due to cheap materials. That bathroom tile is the cheapest u can just about install and not to mention LAMINATE FLOORING. I mean for 700k “laminate floors”? WOW

Also the colors are awful. Even the flipper said that he chose what he liked for colors and didnt care much if anyone else didn’t like em. Only thing decent is the 12k sized lot. Other than that, that house wont sell close to that.
The second this episode was done I told my wife, “I bet it is still for sale and I’ll find it”. Sure enough I found it in 2 secs.

My website tracking Temecula and South Riverside County

[IONEGARM]

http://www.myebid.com/cgi-bin/auction/view?cmd=view&listingID=2113

This is the “Property Ladder” house from Saturday, it didnt sell like they suggested on the show (they said it received an offer off of CL for 255k)

[waiting hawk]

Great Find!!
# of Bids: 0 Bids
Maybe some bonehead will think it will be a good buy because it was on tv and will be their 15 seconds of fame. I knew these homes on these shows were not sellin!

btw last night that HGTV show called “Buy Me, I almost laughed so hard I just about fell out my bed when their realtor said “you managed to lose all 3 buyers” to the sellers. Buyers lowballed and the seller came down 3k. The buyers countered with 3k more than their lowball. Man I was dyin laughin.

My website tracking Temecula and South Riverside County

[Author]

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