Friday, January 19, 2007

Flip That House

Even though we have an interesting life traveling, my choice of television shows hasn't changed much. I still enjoy the same design shows on HGTV or A&E that I did when we lived in a subdivision. I still like to sew and redecorate our new home. It's a much smaller space, so there's only so much I can do.

One show that has caught my attention is "Flip That House" on TLC or HOM channel. This is the 30 minute show where an individual buys a house to upgrade and sell within a short span of time. This usually involves a first time flipper. "Flip This House" is similiar, but involves professionals that are in the business. It is on A&E. I enjoy the novices more.

One episode that I found especially interesting is Montse. In the city of Pasadena, CA, a young woman bought a 670 sf, one bedroom house with only one bath in drastic need of a redo.

Purchase price: $225,000
Her budget: $75,000
Actual cost: $80,000
New sales price: $549,000
Projected profit: $244,000 (subtract carrying costs or selling fees)

It is a great transformation. Very tempting to think that in 6-8 weeks you can make that sum of money. But breaking it down to another level, I noticed a few things. Surprisingly, we have a nearly identical granite counter surface. Our kitchen has nearly identical counter space and just a few less upper cabinets. Our exterior views are definitely better. Plus they change every few months. Every time we move we find we are in a different setting. It is a great experience.

So in a space just slightly larger than our 37' RV, we spent half the amount of her original purchase price. Plus it already had the upgraded finishes. Our RV has nearly everything we need to be comfortable. Just another reason I feel fortunate that we made a good decision to go "on the road" in a Suite.