A $510,000 property needs $475,000 in rehab but only returns $0.50 per hour as a flip. The speaker reframes it as a land play instead, pointing to nearby lots selling for $600,000 and new-build comps that could justify the price.
Were you in the deal room today? 5K on? No. You're making $0.50 an hour on that. Not even, right? It's ridiculous. Reality check is all in. This thing is $475K to make it a clean flip. And then at $510K, you're paying for retail. You're paying retail for a heavy rehab. So the alpha on this is the development angle, right? Saying that there's a comp showing lots selling for $600,000, new builds nearby pushing higher values. It's not the— not a flip deal. It's a land play disguised as a house. So how do you do this?
