Evaluation Sheet for Rehab

I was monkeying with some figures at lunch today to get a realistic vision of how this rehab would unfold financially. One of the main figures I used was going with the HML I talked about in my previous blog. He charges 14% IO, 5% origination, and $260 doc prep fee. He also requires 12 months hazard/builder's risk insurance, an inspection, and two appraisals (one before the rehab and one after). I can borrow up to 70% ARV, which shouldn't be a problem. So here's what I figured:

ARV/Sell Price: $175,000

Loan Costs                       Other Fees
=============================    =============================
Purchase Price .... $  29,000    Inspection ........ $     350
Rehab Costs ....... $  70,000    Appraisal #1 ...... $     350
Origination Fee ... $   4,950    Appraisal #2 ...... $     350
                    ---------    Doc Prep Fee ...... $     260
             Total: $ 103,950    Title Company ..... $   1,000
                                 Insurance ......... $   3,000
                                                     ---------
                                              Total: $   5,310
Monthly Costs
=============================
Loan Payment ...... $   1,213
Utilities ......... $      50
             Total: $   1,263

Total Costs
==============================
Total Buy Costs .... $   6,960
   Inspection
   Appraisal #1
   Doc Prep Fee
   Insurance
   Title Company

Total Hold Costs ... $   7,577
   Hold Costs
     (for 6 months)

Total Sell Costs ... $  14,050
   Realtor Fee
   Title Company
   Appraisal #2
   Property Taxes
     (for 6 months)
                     ---------
              Total: $  28,587
       Loan Balance: $ 103,950
                     ---------
       Total Payoff: $ 132,537

Total Profit (ARV - Payoff) = $ 42,464

Not as much profit as I first thought, but still a lot. I'm guessing at several key figures, mainly the repair costs, insurance, title company fees, property taxes, ARV, and months required to complete the rehab. If I get those figures nailed down, I'd have a lot clearer picture of the end profit. I'd rather be sitting at $75k+ with this scenario as it would give me more wiggle room, but I could certainly live with a $40k+ profit over 6-9 months. ;-)