BiggerPockets

I was running through some thoughts last night.

I was thinking do you mainly do flipping,wholesaling or both??

The calculation in my area would be for an average flip about 25k to 30k Gross profit with a 3 month sale point. Up to 1 month for purchase and rehab,2 to 3 weeks to get under contract,4 to 5 weeks to close.

So I am calculating I would need to wholesale 2 deals a month at 5k each to equal the same pace as 1 retail flip in 3 months.The income would be the same but I would have 6 transactions with the wholesaling and paperwork versus 1 for a retail flip.

The plus of the wholesale would be cash buyers that can close in 7 days or less.

I have cash to buy the properties I would wholesale.

Your thoughts.................

Agreed with Paul...embrace the *AND* not the *OR*... :-)

Also, it's not just about the money...

Personally, my personality suits flips more than wholesales (I don't like marketing, and can farm this part out for retail sales but not on wholesales), so I'd rather do flips even if I made the same amount by wholesaling.

Wholesaling is something I could do if I had a partner who could compliment my weaknesses...but barring that, it doesn't matter how much money I could make, I'd be miserable doing it on my own...

That said, I think someone who builds a wholesale business in a well-structured and scalable way could do quite well with it...probably just as well as flipping given the same amount of start-up capital...it's just a different set of skills...

One of the best ways to invest in this current market is flipping to cash buyers! REO's, Short Sales, & Code Violations

Pardon my ignorance, but I am having a problem differentiating between the terms "wholesaling" and "flipping".

If you are wholesaling, aren't you flipping?

I prefer calling wholesaling-wholesaling and flipping-rehabbing just to avoid the confusion.

Just a heads-up that a lot of investors consider "pre-habbing" to be doing the types of repairs that generally scare most investors (like major trash clean-up, structural work, etc) and then reselling to another investor to complete the rehab and resale to a retail buyer.

In my experience, pre-habbed houses aren't generally in good enough shape for retail sale or FHA inspection.

That said, everyone has their own definitions, and there is no right or wrong...just clarifying what I've seen...

Thank you for the clarification, I didn't know the difference either.