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This video is a MUST WATCH if you want to know how to flip a house as a beginner. In this video, we film my friend Roman of RS Pro Homes as he gives us a tour of his complete house flip from start to finish.
The video is filmed in three parts:
⏰ Timestamps ⏰:
0:00 – Intro
1:08 – Demolition & Rehab
10:41 – Policygenius Spot
11:54 – Completed Product
18:30 – Sales Numbers & Profit
Roman will show you EXACTLY how to flip a house if you are a beginner. He walks through the entire project from beginning to end, explaining some of the challenges you can expect when flipping a home.
If you are a beginner at house flipping, this video is a MUST WATCH! Be sure to watch the entire video because there are golden nuggets of information until the very end.
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My mission is to provide my viewers with actionable content that enables them to create financial wealth. My videos are a reflection of my real-world experience as a real estate investor, stock market investor, student of finance, and entrepreneur.
This channel allows me to share my passion for personal finance, stock market investing, real estate investing, and entrepreneurship. I produce content that I would want to watch, and because of that, I give 100% effort in every video that I make. I also believe in complete transparency and open communication with my audience.
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Hey everybody welcome back to whiteboard Finance it’s my friend roman again Marco’s behind the camera uh we’ve done Two flips already two of which i’ve Recorded roman has done a million he’s Got a bunch under his belt uh so this is One that he just acquired he reached out To me sent me a text message that he’s Working on a flip Asked me if i wanted to record it He just acquired this property roman Give us some details real quick where we At what are we looking at how did you Find the property yeah so this is one of My flips here we bought it um off market As always we buy all of our deals off Market This one came from an online lead like An seo lead We bought it for 150 The seller needed a quick close And yeah so here we are so you mentioned We don’t do like a million flips well We’ve done a fair amount we started in The construction industry and moved on To uh Apartment buildings and then to rental Portfolio and ended up on flips because This is my passion right here nice nice Okay let’s uh let’s walk through this I’m gonna ask you a couple questions While we walk a little bit muddy uh so We’re in a suburb of cleveland correct Correct this is actually a very nice
Suburb this is a class a neighborhood North royalton ohio Very nice school district so Houses go here very quickly Okay So tell us a little bit about what You’re going to be doing with this yeah Absolutely so um this is a surface rehab We we bought it and it was literally Good to go on the exterior you had new Siding had new windows had new roof so All we’re doing is we’re just doing a Full interior job um as you can tell Modding i got some guys in here i got Electrician in here modding uh painting Um well kitchen floors just typical Surface rehab Quick deal probably will be in and out Of this thing in a month and they’ll be Ready to hit the market You want you want to look at the kitchen Real quick So Typical kitchen uh we thought about you Know knocking some walls out expanding Putting an island in I try to look at like cost of Construction cost of labor and is it Worth it and i mean this kitchen is fine As is we just gotta update the cabinets Um put some cool new shelving in here There’s gonna be like open shelves Concept here Um we always go with the granite or
Quartz Um so yeah it’ll be nice when it’s all Said and done okay So this is very very modern right Double oven yeah we don’t you know we Don’t even do those anymore we the Fridge is actually going to go there and This will just be a Bigger kitchen i guess All right so uh in terms of like rehab Costs and things like that um You mentioned that you may be doing like I don’t know courses or whatever i think That if your courses i mean well let me Know if you’re planning on doing that But if so um what would you be teaching If you are planning on going that route Yeah you know what since our first few Videos that we’ve done i had so many People reach out to me and i always say No i’m not doing that i don’t But i realize that The knowledge that i have is worth Passing on and i i actually created a Blueprint on how to market to probates Because most of my deals are probates But i’m planning on putting a series of Courses together literally like how to Find the deal it starts from the Marketing aspect of it how to create an S corporation or how to create an llc Structure create a an actual business And then um you know the construction Aspect of it is big too so like how to
Find contractors how to manage them What’s typical pricing you should expect Um and then disposition too like how do You dispose of these properties because You know we do wholesales we do flips And whole tails so basically like a Sears maybe four three or four courses And uh and i’ll put that out there for You guys okay well if you do release That i’ll probably put that in the link In the description below Um so Like i just want to show people um The typical you know northeast ohio Bathrooms this is what we have here so In here Literally we scrape all this just you Buy a mirror on amazon those round Mirrors you buy the floating shelves Here and that’s that’s it these tubs we Don’t even change the wrap around we Have a guy that comes in and sprays it And he basically resurfaces them and They look uh they look brand new i mean We might do tile in here but with the Market being so hot i don’t want to dump Too much money in here because this Thing will sell um but hey i want to Show you guys this thing real quick uh Marco you’re gonna have to come in here So There this was a half bath okay but if You look down there’s no toilet So we literally opened it up we opened
The wall And we’re putting the toilet in here so It’s a real half bath now the other Thing you see this old electrical panel Here this the fuse box panel We had it’s in the bathroom obviously Not up to code right so we had to rewire You see all the all the wires coming out Of the ceiling my electrician put a new Box in here come around the corner here Take a look at this Wow Hello hello This is my electrician does good work Man he does all my stuff so very good um But and then uh nothing really In the Bedrooms typical bedrooms we uh we just Paint them we you know i used to like Paint different colors different rooms Different colors now it’s just flat gray The whole house and it looks great nice So are you gonna refinish the floors you Leave it as is how’s that gonna work This is actually hardwood if you want to Take a look this is actually um these Are real good uh expensive solid floors And i have a guy that comes in he just Refinishes them and we don’t even stain Them we just we just literally Put a coat of polyurethane on me on There and done deal Yeah so I can take you into uh
The other bedrooms but there’s really Not much there i mean let’s take a look At the master i guess So in terms of you said you picked it up Uh for 150 uh if you’re comfortable i Know you have any other videos are you Comfortable talking numbers like what do You expect yeah let me know what what do You what do you want to know i’ll i’m an Open book how many square feet is it and What do you think you’re gonna get Either per square foot or final after Repair value yeah uh i didn’t even do The per square per square foot cost um But we’re think we’re thinking of uh It’s gonna go over 200 that’s for sure Um it might be like 210 or it might be Like 250. uh But the bottom line is we’re gonna we’re Gonna make money on it because i put in 150 we bought it for 150 rehab is going To cost me about 30. i mean we’re 180 All in And then you know if we sell it for Anything over 200 is straight profit so Yeah and how do you underwrite your Deals i know you mentioned this in a Couple of other videos I know you’re very conservative How do you estimate rehab costs things Like that so rehab costs are pretty much Set i know my price per square foot for Paint price per square foot for the Floor i know how much i paid per cabinet
Price per square foot on my granite I know my electrician so that cost is Set How do i underwrite them My wife is a real estate agent so that Helps on the arvs Now the other thing this market is Really tough to underwrite because Literally we have crazy appreciating Prices like every month there’s a new Record in like Houses on mar or you know Prices sold and stuff like that so it’s Tough to underwrite a deal in a crazy Appreciating market like that And Yeah i hope that answers your questions Did i not answer something no no no it Does it does i think uh so i came from a Commercial real estate background Um all those guys they just think in Price per square foot that’s really all It boils down to and i think for any of The newbies out there i mean is that how You would recommend thinking about it Um So yes and no um and here’s why You can have a flip that’s literally a Gut rehab job you know and if you if you Think about price per square foot There’s a lot more labor in that you Know or you could have literally a Surface rehab paint carpet maybe a Kitchen
So i don’t think of terms price per Square foot on that deal because the Labor material is the amount of work That needs to be done on a deal like That is a lot less So i just look at how much time am i Investing into this thing and how Quickly can we turn it Maybe in the beginning i felt like price Per square foot but now when you get Volume when you start doing volume um i Look at both i guess Yeah cool all right so this is going to Be the first part of the video um we Talked about what ideas you have for the Kitchen what ideas you have for the rest Of the house um in terms of You know basically time frame you think You can dispose of this thing in about a Month or so A day or so bro oh you’re talking about Beginning Yeah Sale if you will oh begin the sale um i Guess it depends how these guys work But no uh dude we turn these things fast Like because we have a legit schedule Like First day that we get keys all my Contractors are in here everything’s Lined up about a month to get it done And like About a day to put under contract in About a month about two months yeah yeah
So when you sell these things we’ll talk About this once it’s rehab and we’ll Come back in here and see all the things You did to it um is your are you working Strictly with your wife do you work with Other agents how do you sell these Things yeah so we uh we got an awesome Deal with the brokerage that we’re with And uh basically what we’re doing is uh My wife is my business partner and she Does the dispositions on on them i also Have i should mention this i have a Virtual assistant team i have a whole Team that does um a lot of off market Acquisition and disposition so like my Whole sales Are done by my virtual assistant team And and so does my acquisition are On market this position so mls sales Like flips like this Those go through my wife so yeah all Right so i think this about wraps up for The intro otherwise the video is going To be you know 30 minutes long but for The first part anything else you want to Leave the audience with oh no i hope you Guys really enjoyed this i i want to Thank marco for always having me on and Doing these things because the feedback I i get is amazing so Thanks for the partnership of course of Course all right we’ll check back in in About a few weeks or so or Hopefully at least within a month oh
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For free head to policygenius.com Whiteboard finance to get your free life Insurance quotes and see how much you Could save okay we are back at the flip Roman what’s up dude hey what’s up guys Okay so we originally started filming in Mid-february 2022 Now it’s almost mid-june Okay So Yeah i know it’s been a while it’s been A while A lot of improvements um the weather Change I’m sure you see the difference so what We’re doing today as always we’re just Gonna walk through and i’ll show you all The improvements so Living room we painted everything Um we always use the same color same Color uh white base boards gray walls We use the same flooring on all of our Flips looks nice So when we let’s uh let’s walk through The bedrooms too So on the bedroom side of the house you See there’s hardwood we always refin if There’s hardwood in the floor you want To refinish that thing because it’s uh It’s beautiful And uh we did Same thing in every bedroom painted all Trim everything’s great
Uh gray refinished hardwood Everything looks nice and new So same thing With this bedroom See when you have that um that color Difference the white and the gray it Really pops you want to sell When you go to sell these things and you Take professional photos like that um That color scheme the difference between The white and gray really pops on photos And the The color usually sells fast do you Always use a professional photographer Oh you got to always you got to if you Don’t that’s a big mistake check this Out so we actually Oh sorry real quick how much does like a Professional photographer cost like does It It’s nothing man it’s like between 100 To 250 depending on like if you want Drone footage if you want like crazy Editing uh virtual staging is also a Thing yeah um so but usually it’s cheap For the amount of money that it costs Um it you have to do if you’re flipping A huge roi yeah so added a bathroom that Wasn’t here um nothing special but like Adding a bathroom is you got to run the Plumbing and you got to run Electrical and the fan and stuff this is Actually a Electrical box that was in inside the
Closet they used to be a closet so we Had to bring it back in Into the hallway so Basically electrical boxes can be in Bathrooms so that’s one of the things Per code yeah you have to have clearance And it can be next to water So last Bedroom Same thing They’re all the same windows were newer So we didn’t even touch them windows are Nice good to go So let me take you to the stuff that Everyone wants to see right the kitchens And the bathrooms that’s what sells Houses so bathroom What we did here is uh we tiled the bath Tub and we did the ship lap round mirror Floating shelves gold Fixtures Stuff like that Nice yeah So that’s that and then going into the Kitchen which whatever everyone wants to See You know kitchens really do sell homes So like you have to make them nice so we You know always do the granite white Shaker cabinets they’re all soft closing In in the drawers too So what else You know all new appliances floating Shelf another floating shelf this is the
New thing now the farmhouse theme We do black hardware In the kitchens So We always sell without a fridge um Fridge is not really necessary on flips How would you how much do you think a Kitchen remodel based on maybe this Square footage would cost or do the Price per square foot how do you figure Out your estimates uh when we run Kitchen we do per cabinet i know what my Cost per cabinet is and then i know what My cost per square foot of granite is so I calculate that out this was like With labor i mean These are unrealistic prices because They’re my prices it was like five grand Dude for me for me if if a homeowner was This is five grand come do my kitchen Dude yeah but you know when you have a Construction company you have guys that Work for you have a relationship with Cabinet people and hardware people it’s It’s a different ball game it’s almost It’s almost like um unfair to the Regular homeowner but that’s part of the Game guys you know so how do you get Those economies of scale how do you get To you know is it just finding the right Guys is it relationships like how do you Get to that point where you get to Almost those wholesale prices i think It’s volume it comes down to doing
Volume if you do volume you will the Economy of scale is there you you create The relationships you’ll find the guys Um you’ll find the suppliers Just by doing volume and then you get The discounts deeper and deeper Discounts as the more stuff you do so All right um this one thing i forgot to Show you guys last time but what we did In the basement is uh we actually added Square footage So Let me tell you why it’s important so When you when you add finished square Footage into the basement now you can Sell it at a higher Finish square footage house than we Originally started out with Um and that creates value now yes some Might say it’s in the basement and Basement doesn’t count it doesn’t count The basement however the homeowner Counts it so the homeowner now will have Extra finished square footage they have They can put an entertainment center Down here we added a bedroom we ran duct Work in here so it’s going to stay warm And cool So this is an actual finished basement Now um let me take you guys into this Mini bedroom we added So by adding square footage into the Basement now you’re creating value we Literally create a value out of thin air
We probably spend about seven to ten Grand to finish this out but i mean we Sold it for way higher than expected so Any questions on that marco uh no we’ll Get into numbers and stuff at the end But yeah this all looks great this is Completely you know different than what We saw when we first were here about Four months ago it was a disaster like This was all a disaster none of this was Here just packed with junk so Um so you want to go back upstairs yeah Let’s yeah let’s uh wrap everything up Um In the kitchen we can go over numbers And stuff like that as long as you’re Comfortable We added a mini deck um i don’t know if You’ll be able to tell through the Windows but we had to put a deck on here Per code because That door is very high off the ground How are lumber prices now crazy Yeah they’re still they’re they’re still Up there so All right so what uh let’s let’s go Ahead and talk numbers i know that’s What you want to hear For the audience that uh doesn’t know Remember what was the acquisition price How did you find it you know what do you Got into it what’d you sell it for okay Acquisition price we it was two oh crap What was it one 150 yeah 150. yeah it
Was crazy crazy purchase price but you Know when we bought it it needed Everything like everything so how long Did it take you to flip it i know this Is one of your longer ones yeah it was So as you see we did everything added Square footage added a bathroom So this was a longer one this is like Three and a half four months almost and Usually we knock knock them out in like 30 days or 60 days so this yeah this was A long one so what is what are some of The pros or cons of you know carrying Costs things like that what what are the Some of the pandora’s box that opens up Once you have to hold these things Longer than you anticipated well this is Why i always preach and i tell people Like you got to be in and out of these Things fast like and usually my projects Are 30 days we’re in and out The longer you keep it now you’re Accumulating um you’re accumulating Holding costs cost Utilities you’re paying utilities taxes Priority taxes And just the longer the project drags Also also you got to time the market too And what i mean by that is like in the Springtime is the best time to sell and That was my intentions like let’s get Rid of this thing in the spring and then When you push it into like the fall or End the summer or fall or even winter
Then you get your projects sitting on The market longer and you don’t want That yeah kids are going back to school You know all that stuff so yeah a lot of Things to think about Okay so in terms of what you acquired it For what are you now selling it for You’re under contract correct yeah we’re Actually closing like a couple days so We’re filming this in like the last Possible moment but yeah so we uh Purchased it for 150. Uh let’s see we put about 40 in here so i gotta i gotta look at The numbers i have spreadsheets for all This stuff um we sold it for 285 believe It or not so like we listed it for 275 Trying to be aggressive and somebody Came in with above asking offer it Appraised everything’s good so 285 so if You look at like um you know everyone Wants to know what your profit margin on This one is it’s close to six figures Like it’s it’s up there nice very nice So in terms of i know we touch on this a Lot because a lot of people they see Like the glitz and glamour of like these Big flips and stuff like that i know you Have a personal you know rental Portfolio but for the average joe who Doesn’t um you know what are some tax Implications and things they have to Worry about is this straight up like Capital gains if you know is this just
Taxed regularly like an investment like Buying and selling a stock for example For you’re talking flip revenue yeah Just like capital gains if you buy it For 100 you got 50 into it you sell it For 250 capital gain of 100 grand so Here’s the thing what i learned from my Cpa i’m not a cpa just a disclosure but Uh What i have since i run it as a business We’re running everything through the S-corporation for me it’s earned income It’s just earned income and it’s taxed As earned income Now there’s a lot of things you can do To offset that And this is like a whole other video man Yeah but you know rental properties Offset your your taxes that you you owe The government there’s also running it Everything under your business umbrella Like literally everything i’m talking About cell phones gas mileage Uh marketing expenses everything Anything that’s used as part of the Business correct you so you write that Off write that off you want to minimize Your um tax taxes that you pay at the End of the year and i always do uh Because i offset everything with my Rental portfolio that’s why If you’re in real estate and and you’re Just doing one little niche try to Maximize all the niches that way you met
You capitalize on the tax strategy So uh days on market this is what one Day yeah wow that’s crazy well you know The market is slowing down and it is you Know interest rates are rising market is Slowing a little bit but the bottom line Guys when you put a house on the market Like this where everything is done Everything’s remodeled it’s gonna sell i Don’t care if it’s 2008 or now the Thing’s gonna sell people always need a Place to move there’s a housing shortage No matter what anyone says The thing’s gonna sell so yeah so just To give people perspective we’re in a Suburb of cleveland kind of like a you Know class a class b plus kind of a Neighborhood if you will good schools That kind of a thing um do you think That there really is you know it’s Supply and demand right so on one end we Have interest rates basically doubling Since january but on the other hand you Know there’s just not enough units you Know so there’s much more demand and There is supply you know at what point Do you think we’ll see kind of like Maybe a tilting point to where you know These prices do start to come down a Little bit 5 10 you know 15 percent i Think we’re almost there we’re actually There i was i was reading some Information from the Uh from experts
And the experts say that um The days on market is basically i always Look at days on market and price Reductions when the days on market start Start pushing into like 30 days or more Uh which we’re not there yet and you see A lot more price reductions that’s an Indicator in the market and i think We’re there but see we’re um insulated Being in a nice class a neighborhood Class a schools like marco mentioned and Being fully remodeled like if you put a Product like this on the market like the Thing will sell and no matter what the Market’s doing this thing will sell Very nice all right roman uh where can People find out more about you i know It’s the third time i’ve had you on the Channel but for the people that are just Seeing you for the first time well let Me tell you guys this so i actually uh We touched on the courses in the past um I do have some courses if you guys want To learn how to do this stuff I think i’ll bundle something together For your your viewers mark give them a Discount give them a whiteboard finance Discount yeah yeah put a link in there We’ll we’ll hook you guys up um And next i mean you could oh i have a Podcast and you can follow me on Instagram it’s Romanempire.cle and podcasts i’m on all Major platforms it’s called building
Roman’s empire podcast love it love it That’s relatively new right it’s yeah Yeah i love it man it is keep it up i Got to have you on my podcast soon too I love how you ended one of the other Videos by telling people like you know Don’t just consume you know blog posts And articles and youtube videos and all This stuff you got to get out here and You know kind of just start doing it on Your own Do you have any other last words of Wisdom just to end the video yes i think Uh destiny favors the action takers so Um if you want if whatever you want out Of life you can just sit there and just Think about it or watch youtube videos You have to take action Um and if you think you’re not ready Well you’ll never be ready guys like You’re never ready you got to take Action and the the more action you take The more clear things seem start start You know start whatever Yeah Things clear up and then eventually like I mentioned the last video it’s a Snowball effect i didn’t get to this Point by sitting on the couch watching Marco’s videos without taking action You know even marco’s videos are great You have to take action guys so that’s Something i’ll i’ll leave the video with Take action and uh take your own destiny
Into your own hands i love it All right guys now i’m in front of the Camera It’s always a pleasure having roman on Uh thank you so much if you stay to the End of the video i really appreciate it Um he’s gonna be coming out with you Know a couple courses on his on his own I never really promote courses or other People’s stuff on this channel even my Own stuff but um i know roman personally And he’s the real deal you guys so i Feel comfortable doing that uh if you Guys have any questions hit him up on Instagram uh hit him up on his podcast As well leave some comments down below If you have any questions more specific To the house flipping process thank you For watching thank you guys
