BiggerPockets

Golden Rules Of Flipping Real Estate

Since the economy turn, the real-estate market has turned into a "Buyers market". Investors everywhere are grabbing up properties at discounts unheard of in the previous years. Thousands of "How to courses" are sold via TV, Internet, Seminars, etc...Promoting "Buy with little or no money down".

A person makes the commitment, purchases the program, reads the books, gets familiar with the process...suddenly they're faced with a major problem.

• "Where do I get the leads?"
• "Where do I find deals?"
• "How do I know a deal when I see one?"

Not everybody can become a world-class Real Estate Investor like Donald Trump. Who has that kind of money? Who has that kind of time? How would I even start? Don't feel bad. When I first started in real estate business, I knew absolutely nothing. I mean nothing. Never bought a house before, and I sure couldn't tell the difference between a good deal and a bad one.

I didn't know much, but what I did know is, if I didn't know about it, I better learn how to do it or hire someone to do it for me.

I spent thousands of dollars and years learning everything I could about writing effective real estate offers. You can easily get lost in this field as everyone has different opinions of what works and what doesn't. I researched all of the successful "Guru's." I studied sample offers and became a student of the work of people like Carleton Sheets, Donald Trump, Dolf DeRoos, and many others.

As I learned something from each of the people whose work I studied, I realized something was missing. It seemed like everyone knew how to close a deal, but it would be easier to win the lottery than it would be to find a real deal. Right?

If you want to start buying and selling houses, or just want to find a good deal to invest your money in. Your going to want some pointers in the right direction.

I developed my own style of buying and selling real estate. But most importantly, I followed these three golden rules of real estate flipping.

1. TIMING

By far the most important thing in real estate is timing. One day on my way to the store to get a soda,I drove past a house that showed the telltale signs of a house going into foreclosure. I stopped and knocked on the door. When the owner answered the door, through the doorway behind her. I could see boxes. This is her last day in the House. If I hadn't stopped that day, would've missed out on that one. Never pass on a possible deal. In short, I got the house. The refrigerator, the lawn mower and a ping-pong table...... Timing


2. ITS GOING TO COST YOU MORE THAN YOU THINK.

I cannot tell you how many deals that I've done. where I knew the repair costs down to the pennies. And inevitably it cost twice my original estimate. That's just the way it works. If you plan for this one rule, and buy your house accordingly, you'll save yourself a lot of heart ache.

3. HAVE AN EXIT STRATEGY

It doesn't matter how perfect the deal is. It doesn't matter how little repair It needs. it doesn't matter how great the neighborhood is. It doesn't matter how cheap you bought it. If you can't get rid of it... It's worthless. time and time again, I speak on this one subject. Oil still in the ground is not money.Gold in an inaccessible mine, is not money. Don't fall in love with the House or the circumstance that you bought it in. The rule is, know what you're going to do with it before you buy. If you don't know if you can sell it, don't buy it.

You've Seen... Real Estate Riches, Rich Dad, Poor Dad, No Down Payment, and the Art of the Deal.

These all tell you how to close a deal, but none will find it for you. Always be on the look out for that next deal and study hard. You will be ready for it when you find it.

I wish you Success
Joe Goodrich

Comments

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  Shayne F. — 11 months ago

  All of this advice for $79.99 !