BiggerPockets

What Do You Need For A Successful Flip?

In today's real estate market people everywhere are wondering if the house flipping market is going to the dumps. I mean C'mon they are talking about it everywhere. Well, I have some news for you. Now is the time to get in on the house flipping business. Don't listen to the news and everyone else that don't know the first thing about real estate. Don't follow those "wanna be" investors that started flipping houses when things were good. Now they are running away because they think they will lose their shirt. You have to separate yourself from the crowd.

In this article I am going to briefly explain what you need in order to run a successful flip.

Find the deal: First and foremost, you need to find the property. You can do this by placing an ad in the newspaper, working with realtors, sending out postcards, etc. I think that all three of the methods combined will get you the best results. Once you get the calls in, you must screen the sellers to make sure you find the right deal for yourself.

Make the offer: When making your offer try to present an offer that will be good for you as well as the seller. Remember that you are not there to get over on the seller, but you are there to help them get out of their situation. Make sure you can get the property at a 50 percent discount and you will have a good deal.

Get the money: Now that you have made an offer, you will need to get the funds to buy the property. Try to locate a hard money lender or a private money lender that will help you buy this property. You can find hard money lenders by doing a Google search.

Find the contractors: So you have bought the property and now you need a contractor. Try to get subcontractors to work for you. You can find these subcontractors by driving around areas where there is a lot of rehabbing going on. You may see some of the sub contractors working. Just go and talk to them and see if they are willing to work for you.

Sell the house: Now here is the tricky part! If you want to sell the property in lightning speed, then make sure the contractor has done a great rehab job. Once you have that part out of the way you will put your property up for sale. The trick is to offer the nicest house in the area for the cheapest price. Find out what other properties are up on the market for and come up with a price that is less than those homes. Then you will sell the property quick.

Copyright © 2008 Jamel Gibbs
All Rights Reserved

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