- Messages
- 17,713
They've owned it for less than a year and jacked up the price almost 300k. Flippers are evil.
The guy probably put in $200,000 in improvements, you economically illiterate know nothing. Some day I hope you actually get enough money to attempt a flip so then you can learn how much is actually involved. Also, that it took him a whole year to complete the remodel is actually pretty bad because that is probably something like $36,000 just in carrying costs on the property plus something like $6000 in property taxes paid so he his carrying costs for one year are around $42,000. I'd be very surprised if he could rehab that place for under $75,000 where as most would spend at least $150,000 if not more.
It is clear you don't understand the economics of any of this or you wouldn't be so foolish as to call someone rehabbing distressed property "evil". They are risking big money, paying big carrying costs, and risking their credit history all while hoping to make a profit while improving their communities.
Both of you are right.
Believe me there are people who will buy a dirt cheap house that needs improvements and they get it up to code real cheap through personal connection. You can really do a nice reno for little if you are resourceful and know people.
So it does happen where people just gouge.
But generally you are right, they are just trying to get a little out of their investment.
There are way too many gougers in real estate. It's why the country's such a damn mess. I don't mind when people do it fairly, but they have driven real estate in California through the damn roof. They've turned it into a state for the 1% and the poverty stricken. In SoCal, 2 million bucks for what would probably cost 150k where you live. It's despicable.
Parts of my state are like that. Rent gets insanely high as well.
When I rented my first apartment, it was an adorable 2 bed 1 bath upper level....an old historic house. I had a cool single dad living under me named Walt, he let me use his washer and dryer lol.
I was off Main street in Rochester Michigan.....my rent was 725.
Rochester, Michigan today? Oh man. Dont even look unless you have serious money lol. That same apartment is now 1700 a month.
Shitty 2 BD apartments are 2500 and up in Los Angeles. Nice ones can go up to 5 - 6,000. A house like the one in the link above would be over 2 million, depending on the neighborhood, even up to four million.
Who sets the zoning laws to artificially restrict supply by capping density? Hint: The same dumb asses you vote for.